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Determinants of Remittances: Recent Evidence Using Data on Internal Migrants in Vietnam

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  • Yoko Niimi
  • Thai Hung Pham
  • Barry Reilly

Abstract

The present paper examines the determinants of remittance behavior for Vietnam using data from the 2004 Vietnam Migration Survey on internal migrants. It considers how, among other things, the vulnerability of a migrant's life at the destination, their link to relatives back home, and the time spent at the destination affect remittances. The paper finds that migrants act as risk-averse economic agents and send remittances back to the household of origin as part of an insurance exercise in the face of economic uncertainty. Remittances are also found to be driven by a migrant's labor market earnings level. The paper highlights the important role of remittances in providing an effective means of risk-coping and mutual support within the family. Copyright 2009 The Authors. Journal compilation 2009 East Asian Economic Association and Blackwell Publishing Ltd.

Suggested Citation

  • Yoko Niimi & Thai Hung Pham & Barry Reilly, 2009. "Determinants of Remittances: Recent Evidence Using Data on Internal Migrants in Vietnam," Asian Economic Journal, East Asian Economic Association, vol. 23(1), pages 19-39, March.
  • Handle: RePEc:bla:asiaec:v:23:y:2009:i:1:p:19-39
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    Cited by:

    1. Florence Arestoff & Mélanie Kuhn & El Mouhoub Mouhoud, 2012. "Transferts de fonds des migrants en Afrique du Sud. Les conditions de départ du pays d'origine sont-elles déterminantes ?," Revue économique, Presses de Sciences-Po, vol. 63(3), pages 513-522.
    2. Fukase, Emiko, 2013. "Foreign job opportunities and internal migration in Vietnam," Policy Research Working Paper Series 6420, The World Bank.
    3. Quang Nguyen & Marie Claire Villeval & Hui Xu, 2012. "Trust and Trustworthiness under the Prospect Theory: A field experiment in Vietnam," Working Papers halshs-00730609, HAL.
    4. Coxhead, Ian & Vu, Linh & Nguyen, Cuong, 2016. "Migration in Vietnam: New Evidence from Recent Surveys," MPRA Paper 70217, University Library of Munich, Germany.
    5. Yaw Nyarko & Kwabena Gyimah-Brempon, 2011. "Social Safety Nets: The Role of Education, Remittances and Migration," RSCAS Working Papers 2011/26, European University Institute.
    6. repec:dau:papers:123456789/10118 is not listed on IDEAS
    7. Hagen-Zanker, Jessica, 2010. "Modest expectations: Causes and effects of migration on migrant households in source countries," MPRA Paper 29507, University Library of Munich, Germany.
    8. Emiko Fukase, 2014. "Job Opportunities in Foreign Firms and Internal Migration in Vietnam," Asian Economic Journal, East Asian Economic Association, vol. 28(3), pages 279-299, September.
    9. Chang, Hongqin & Dong, Xiao-yuan & MacPhail, Fiona, 2011. "Labor Migration and Time Use Patterns of the Left-behind Children and Elderly in Rural China," World Development, Elsevier, vol. 39(12), pages 2199-2210.
    10. Nguyen, Cuong & van den Berg, Marrit & Lensink, Robert, 2009. "The Impact of International Remittances on Income, Work Efforts, Poverty and Inequality: Evidence from Vietnam," MPRA Paper 50313, University Library of Munich, Germany.
    11. repec:spr:izamig:v:7:y:2017:i:1:d:10.1186_s40176-017-0089-z is not listed on IDEAS
    12. Nguyen, Loc Duc & Raabe, Katharina & Grote, Ulrike, 2015. "Rural–Urban Migration, Household Vulnerability, and Welfare in Vietnam," World Development, Elsevier, vol. 71(C), pages 79-93.
    13. Phan, Diep & Coxhead, Ian, 2016. "Rural-Urban Migration and Remittances in Vietnam Evidence from Migrant Tracer Data," Staff Paper Series 581, University of Wisconsin, Agricultural and Applied Economics.

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