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The remitting patterns of African migrants in the OECD

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  • Bollard, Albert
  • McKenzie, David
  • Morten, Melanie

Abstract

Recorded remittances to Africa have grown dramatically over the past decade. Yet data limitations still mean relatively little is known about which migrants remit, how much they remit, and how their remitting behavior varies with gender, education, income levels, and duration abroad. This paper constructs the most comprehensive remittance database on immigrants in the OECD currently available, containing microdata on more than 12,000 African immigrants. Using this microdata the authors establish several basic facts about the remitting patterns of Africans, and then explore how key characteristics of policy interest relate to remittance behavior. Africans are found to remit twice as much on average as migrants from other developing countries, and those from poorer African countries are more likely to remit than those from richer African countries. Male migrants remit more than female migrants, particularly among those with a spouse remaining in the home country; more-educated migrants remit more than less educated migrants; and although the amount remitted increases with income earned, the gradient is quite flat over a large range of income. Finally, there is little evidence that the amount remitted decays with time spent abroad, with reductions in the likelihood of remitting offset by increases in the amount remitted conditional on remitting.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 5260.

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Date of creation: 01 Apr 2010
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Handle: RePEc:wbk:wbrwps:5260

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Keywords: Population Policies; Remittances; Gender and Development; Debt Markets; International Migration;

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References

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  1. Azam, Jean-Paul & Gubert, Flore, 2006. "Migrants' Remittances and the Household in Africa: A Review of Evidence," Economics Papers from University Paris Dauphine 123456789/5126, Paris Dauphine University.
  2. Albert Bollard & David McKenzie & Melanie Morten & Hillel Rapoport, 2009. "Remittances and the Brain Drain Revisited: The Microdata Show That More Educated Migrants Remit More," Working Papers, Bar-Ilan University, Department of Economics 2009-26, Bar-Ilan University, Department of Economics.
  3. Sanjeev Gupta & Catherine A. Pattillo & Smita Wagh, 2007. "Impact of Remittanceson Poverty and Financial Development in Sub-Saharan Africa," IMF Working Papers 07/38, International Monetary Fund.
  4. Roubaud, François & Gubert, Flore & de Vreyer, Philippe, 2009. "Migration, self selection and returns to education in the WAEMU," Economics Papers from University Paris Dauphine 123456789/627, Paris Dauphine University.
  5. Osili, Una Okonkwo, 2007. "Remittances and savings from international migration: Theory and evidence using a matched sample," Journal of Development Economics, Elsevier, Elsevier, vol. 83(2), pages 446-465, July.
  6. Dilip Ratha & Sanket Mohapatra & Ani Silwal, 2009. "Outlook for Remittance Flows 2009-2011 : Remittances Expected to Fall by 7-10 Percent in 2009," World Bank Other Operational Studies 10975, The World Bank.
  7. Luis Miotti & El Mouhoub Mouhoud & Joel Oudinet, 2009. "Migrations And Determinants Of Remittances To Southern Mediterranean Countries: When History Matters !," Post-Print hal-00483303, HAL.
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Blog mentions

As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Does gender matter in migration? Why I don’t believe any studies which claim it does
    by David McKenzie in Development Impact on 2013-02-18 22:14:03
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Cited by:
  1. Giulia Bettin & Riccardo Lucchetti & Alberto Zazzaro, 2009. "Income, consumption and remittances: evidence from immigrants to Australia," Mo.Fi.R. Working Papers, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences 34, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences.
  2. Kiawu, James AF & Jones, Keithly G, 2013. "Implications of food aid and remittances for West African food import demand," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, African Association of Agricultural Economists, vol. 8(1), July.
  3. Aparicio Fenoll, Ainhoa, 2011. "Network Effects on Migrants' Remittances," IZA Discussion Papers 5657, Institute for the Study of Labor (IZA).
  4. John Gibson & David McKenzie, 2010. "The Economic Consequences of "Brain Drain" of the Best and Brightest: Microeconomic Evidence from Five Countries," CReAM Discussion Paper Series 1018, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  5. Bettin, Giulia & Lucchetti, Riccardo & Zazzaro, Alberto, 2012. "Endogeneity and sample selection in a model for remittances," Journal of Development Economics, Elsevier, Elsevier, vol. 99(2), pages 370-384.
  6. de Brauw, Alan & Mueller, Valerie & Woldehanna, Tassew, 2013. "Motives to Remit: Evidence from Tracked Internal Migrants in Ethiopia," World Development, Elsevier, Elsevier, vol. 50(C), pages 13-23.
  7. repec:nbr:nberch:13368 is not listed on IDEAS
  8. Aísa, R. & Andaluz, J. & Larramona, G., 2011. "How does bargaining power affect remittances?," Economic Modelling, Elsevier, Elsevier, vol. 28(1-2), pages 47-54, January.
  9. de Brauw, Alan & Mueller, Valerie & Woldehanna, Tassew, 2011. "Insurance motives to remit: Evidence from a matched sample of Ethiopian internal migrants," ESSP working papers, International Food Policy Research Institute (IFPRI) 25, International Food Policy Research Institute (IFPRI).
  10. Wim Naudé & Henri Bezuidenhout, 2014. "Migrant Remittances Provide Resilience Against Disasters in Africa," Atlantic Economic Journal, International Atlantic Economic Society, International Atlantic Economic Society, vol. 42(1), pages 79-90, March.
  11. Naudé, Wim & Bezuidenhout, Henri, 2012. "Remittances provide resilience against disasters in Africa," MERIT Working Papers 026, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  12. Clemens, Michael A. & McKenzie, David, 2014. "Why don't remittances appear to affect growth ?," Policy Research Working Paper Series 6856, The World Bank.

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