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The check is in the mail: Household characteristics and migrant remittance from the U.S. to Mexico

Author

Listed:
  • Jonathan Yoder
  • Adam McCoy
  • Mudziviri Nziramasanga

    (School of Economic Sciences, Washington State University)

Abstract

We develop a household model of migrant remittance that accounts for the effects of subsistence requirements and transaction costs on remittances. The model supports testable hypotheses about the effect on remittances of migrant income, family composition and distribution, transaction costs, income and residence security, and other household characteristics on remittance levels and frequency. We test these hypotheses using survey data on individual Mexican migrants in the United States. The results are broadly consistent with our hypotheses. For example, our subsistence requirement implies that below a threshold, the income effect on remittance is zero. This is borne out in our results.

Suggested Citation

  • Jonathan Yoder & Adam McCoy & Mudziviri Nziramasanga, 2008. "The check is in the mail: Household characteristics and migrant remittance from the U.S. to Mexico," Working Papers 2008-1, School of Economic Sciences, Washington State University.
    • Handle: RePEc:wsu:wpaper:nziramasanga-1
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    remittances; migrant income; transaction costs;
    All these keywords.

    JEL classification:

    • J1 - Labor and Demographic Economics - - Demographic Economics
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models

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