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The insurance function of migrants' monetary transfers back home: A case study of South Africa

Author

Listed:
  • Dorothee Crayen
  • Christa Hainz
  • Christiane Ströh de Martínez

Abstract

Most developing and newly industrialised countries have no comprehensive social-insurance system. For the majority of the population, private insurance is inaccessible of too expensive. All people, however, are exposed to risks and poor people even more so. Since it is difficult for people with small and often irregular incomes to cover major costs, they cope with the risks with different precautionary and financial-management mechanisms. This study examines whether the monetary transfers back home of migrants are a replacement for insurance or whether they lead people to buy insurance.

Suggested Citation

  • Dorothee Crayen & Christa Hainz & Christiane Ströh de Martínez, 2011. "The insurance function of migrants' monetary transfers back home: A case study of South Africa," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 64(10), pages 17-21, May.
    • Handle: RePEc:ces:ifosdt:v:64:y:2011:i:10:p:17-21
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance

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