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Social Relations and Remittances: Evidence from Canadian Micro Data

Author

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  • DeVoretz, Don J.

    (Simon Fraser University)

  • Vadean, Florin

    (University of Kent)

Abstract

We theorise that remittances to persons outside the households represent transfers to maintain social relations with relatives and friends and charitable remittances are expenditures which foster group membership. We estimate transfer functions as part of a larger expenditure system and calculate Engel elasticities for remittances to persons and to charities. We conclude that expenditures to enhance social relations with relatives and friends are a normal good for recent Asian immigrants and a luxury good for all other immigrants and Canadians. This fact indicates strong cultural differences in the remittance behaviour of the population groups included.

Suggested Citation

  • DeVoretz, Don J. & Vadean, Florin, 2006. "Social Relations and Remittances: Evidence from Canadian Micro Data," IZA Discussion Papers 2501, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp2501
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    References listed on IDEAS

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    Cited by:

    1. Kazi Abdul, Mannan & Khandaker Mursheda, Farhana, 2015. "Determinants of remittances in rural Bangladesh:An econometric analysis of the educational attainments of the households," MPRA Paper 97471, University Library of Munich, Germany, revised 2015.
    2. Tolciu, Andreia & Schaland, Ann-Julia & El-Cherkeh, Tanja, 2010. "Migrant entrepreneurship in Hamburg: Results from a qualitative study with Turkish entrepreneurs," HWWI Research Papers 3-22, Hamburg Institute of International Economics (HWWI).
    3. Kazi Abdul, Mannan & LJ, Fredericks, 2015. "Determinants and socioeconomic impact of remittances between Bangladesh and Italy- A multivariate analysis of religion of rural households," MPRA Paper 97467, University Library of Munich, Germany, revised 2015.
    4. Vadean, Florin P., 2007. "Skills and remittances: The case of Afghan, Egyptian, and Serbian immigrants in Germany," HWWI Research Papers 3-9, Hamburg Institute of International Economics (HWWI).
    5. Richard P.C. Brown & Gareth Leeves & Prabha Prayaga, 2014. "Sharing Norm Pressures and Community Remittances: Evidence from a Natural Disaster in the Pacific Islands," Journal of Development Studies, Taylor & Francis Journals, vol. 50(3), pages 383-398, March.

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    More about this item

    Keywords

    international migration; household behaviour; remittances;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances

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