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Does Migration Help Reducing Inequality and social Exclusion?

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Author Info
Marilena Giannetti
Daniela Federici
Michele Raitano

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Abstract

The impact of remittance flows on growth and income distribution has attracted a great deal of attention, but the theoretical and empirical literature on the relationship between remittances and economic development is far from clear. Although there is wide consensus that foreign remittances can help receiving households to increase income, consumption and capabilities to face socioeconomic shocks, there has been little quantitative research on impacts of remittances on household welfare and poverty. Our paper seeks to fill some of these gaps and it proposes an empirical analysis of the role of remittances as tool for reducing inequality and covering households against poverty and social exclusion risks. The empirical analysis focuses on four Eastern European Countries: Slovenia, Poland, the Czech Republic and Hungary, and is based on the EU-SILC 2005 data-set, that for each household provides information regarding interhousehold cash transfers received amongst which, regular cash support from households in other countries (i.e. remittances) are included.

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File URL: http://dep.eco.uniroma1.it/docs/working_papers/WP118.pdf
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Publisher Info
Paper provided by Sapienza University of Rome, Department of Public Economics in its series Working Papers with number 118.

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Length: 22 pages
Date of creation: Feb 2009
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Handle: RePEc:sap:wpaper:118

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Related research
Keywords: Remittances; inequality; poverty.;

Find related papers by JEL classification:
O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
O52 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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  1. Woodruff, Christopher & Zenteno, Rene, 2007. "Migration networks and microenterprises in Mexico," Journal of Development Economics, Elsevier, vol. 82(2), pages 509-528, March. [Downloadable!] (restricted)
  2. Barry McCormick & Jackline Wahba, 2003. "Return International Migration and Geographical Inequality: The Case of Egypt," Journal of African Economies, Oxford University Press, vol. 12(4), pages 500-532, December.
  3. Barham, Bradford & Boucher, Stephen, 1998. "Migration, remittances, and inequality: estimating the net effects of migration on income distribution," Journal of Development Economics, Elsevier, vol. 55(2), pages 307-331, April. [Downloadable!] (restricted)
  4. Taylor, J. Edward, 1992. "Remittances and inequality reconsidered: Direct, indirect, and intertemporal effects," Journal of Policy Modeling, Elsevier, vol. 14(2), pages 187-208, April. [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. Cuong Nguyen Viet, 2008. "Do Foreign Remittances Matter to Poverty and Inequality? Evidence from Vietnam," Economics Bulletin, Economics Bulletin, vol. 15(1), pages 1-11. [Downloadable!]
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This page was last updated on 2009-10-28.

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