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Globalization, Migration and Development: The Role of Mexican Migrant Remittances

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Author Info
Ernesto López Córdova

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Abstract

This note starts from the premise that, in current debates on the impact of globalization on economic development, the role of international migration has been under-emphasized. In an effort to contribute toward filling that gap, it presents evidence suggesting that remittances sent by international migrants are associated with improved developmental outcomes. Using a cross-section of all Mexican municipalities (over 2400) in the year 2000, it shows that an increase in the fraction of households receiving international remittances is correlated with better schooling and health indicators, and with reductions in poverty. These results are confirmed when we look at migration propensity instead of remittance flows. The econometric exercises control for the likely endogeneity between remittances and migration variables, on the one hand, and developmental outcome variables, on the other.

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Paper provided by Econometric Society in its series Econometric Society 2004 Latin American Meetings with number 82.

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Date of creation: 11 Aug 2004
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Handle: RePEc:ecm:latm04:82

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Related research
Keywords: Remittances; migration; globalization; development; Mexico;

Find related papers by JEL classification:
I0 - Health, Education, and Welfare - - General
F2 - International Economics - - International Factor Movements and International Business
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Alexandra Cox Edwards & Manuelita Ureta, 2003. "International Migration, Remittances, and Schooling: Evidence from El Salvador," NBER Working Papers 9766, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. Richard H. Adams, Jr. & John Page, 2003. "International migration, remittances, and poverty in developing countries," Policy Research Working Paper Series 3179, The World Bank. [Downloadable!]
  3. Mckenzie, David & Rapoport, Hillel, 2007. "Network effects and the dynamics of migration and inequality: Theory and evidence from Mexico," Journal of Development Economics, Elsevier, vol. 84(1), pages 1-24, September. [Downloadable!] (restricted)
  4. Edwards, Alejandra Cox & Ureta, Manuelita, 2003. "International migration, remittances, and schooling: evidence from El Salvador," Journal of Development Economics, Elsevier, vol. 72(2), pages 429-461, December. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Claire Naiditch & Radu Vranceanu, 2009. "Migrant wages, remittances and recipient labour supply in a moral hazard model," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00318870_v1, HAL. [Downloadable!]
    Other versions:
  2. Catalina Amuedo-Dorantes, 2006. "Remittances and their microeconomic impacts: evidence from Latin America," Proceedings, Federal Reserve Bank of Dallas, pages 187-197. [Downloadable!]
  3. Demirguc-Kunt, Asli & Lopez Cordova, Ernesto & Martinez Peria, Maria Soledad & Woodruff, Christopher, 2009. "Remittances and banking sector breadth and depth : evidence from Mexico," Policy Research Working Paper Series 4983, The World Bank. [Downloadable!]
  4. Brown, Richard P.C. & Jimenez, Eliana, 2007. "Estimating the Net Effects of Migration and Remittances on Poverty and Inequality: Comparison of Fiji and Tonga," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
    Other versions:
  5. Mansuri, Ghazala, 2006. "Migration, school attainment, and child labor : evidence from rural Pakistan," Policy Research Working Paper Series 3945, The World Bank. [Downloadable!]
  6. David A. Grigorian & Tigran A. Melkonyan, 2008. "Microeconomic Implications of Remittances in an Overlapping Generations Model with Altruism and Self-Interest," IMF Working Papers 08/19, International Monetary Fund. [Downloadable!]
  7. David McKenzie & Hillel Rapoport, 2007. "Self-selection patterns in Mexico-U.S. migration: The role of migration networks," CReAM Discussion Paper Series 0701, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
    Other versions:
  8. David McKenzie & Hillel Rapoport, 2006. "Can migration reduce educational attainments? Depressing evidence from Mexico," CReAM Discussion Paper Series 0601, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London. [Downloadable!]
  9. McKenzie, David & Rapoport, Hillel, 2006. "Can migration reduce educational attainment ? Evidence from Mexico," Policy Research Working Paper Series 3952, The World Bank. [Downloadable!]
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