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Remittances and Inequality

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Author Info
Gabriel Gonzalez-Konig () (School of Economics, Universidad de Guanajuato)
Quentin Wodon (The World Bank)

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Abstract

The impact of remittances on inequality is uncertain a priori. However, at the margin, remittances are likely to be more inequality increasing (or less inequality decreasing) in poorer as opposed to richer areas. This is suggested with a simple theoretical model, and tested empirically using survey-based estimates of the Gini income elasticity of remittances in Honduras. The results are robust to alternative distribution weights used for measuring inequality.

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Paper provided by Universidad de Guanajuato in its series School of Economics Working Papers with number EC200506.

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Handle: RePEc:gua:wpaper:ec200506

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Related research
Keywords: Migration; Remittances; Income Distribution.;

Find related papers by JEL classification:
J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
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. Gary S. Becker, 1974. "A Theory of Social Interactions," NBER Working Papers 0042, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Rodriguez, Edgard R, 1998. "International Migration and Income Distribution in the Philippines," Economic Development and Cultural Change, University of Chicago Press, vol. 46(2), pages 329-50, January.
  3. Yitzhaki, Shlomo, 1983. "On an Extension of the Gini Inequality Index," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 24(3), pages 617-28, October. [Downloadable!] (restricted)
  4. Lerman, Robert I & Yitzhaki, Shlomo, 1985. "Income Inequality Effects by Income," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 151-56, February. [Downloadable!] (restricted)
  5. Stark, Oded & Taylor, J. Edward & Yitzhaki, Shlomo, 1988. "Migration, remittances and inequality : A sensitivity analysis using the extended Gini index," Journal of Development Economics, Elsevier, vol. 28(3), pages 309-322, May. [Downloadable!] (restricted)
  6. Stark, Oded & Taylor, J Edward & Yitzhaki, Shlomo, 1986. "Remittances and Inequality," Economic Journal, Royal Economic Society, vol. 96(383), pages 722-40, September. [Downloadable!] (restricted)
  7. Leones, J P & Feldman, S, 1998. "Nonfarm Activity and Rural Household Income: Evidence from Philippine Microdata," Economic Development and Cultural Change, University of Chicago Press, vol. 46(4), pages 789-806, July.
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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. Wodon, Quentin & Angel-Urdinola, Diego & Gonzalez-Konig, Gabriel & Ojeda Revah, Diana & Siaens, Corinne, 2003. "Migration and Poverty in Mexico’s Southern States," MPRA Paper 10574, University Library of Munich, Germany. [Downloadable!]
  2. Gianmarco León & Valerie Koechlin, 2006. "International Remittances and Income Inequality: An Empirical Investigation," RES Working Papers 4475, Inter-American Development Bank, Research Department. [Downloadable!]
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