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Geographic distance and remittances in Romania: Out of sight, out of mind?

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  • José De Sousa
  • Laetitia Duval

Abstract

We analyse the role of geographic distance for bilateral remittances. We use a new data set on bilateral remittance flows from OECD countries to Romania over the period 2005-2009. Contrasting with existing literature, we find that remittances increase with distance but in a non-linear way.

Suggested Citation

  • José De Sousa & Laetitia Duval, 2010. "Geographic distance and remittances in Romania: Out of sight, out of mind?," International Economics, CEPII research center, issue 121, pages 81-98.
  • Handle: RePEc:cii:cepiie:2010-q1-121-4
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    References listed on IDEAS

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    1. Dilip Ratha & William Shaw, 2007. "South-South Migration and Remittances," World Bank Publications, The World Bank, number 6733.
    2. Jeffrey Frankel, 2011. "Are Bilateral Remittances Countercyclical?," Open Economies Review, Springer, vol. 22(1), pages 1-16, February.
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    7. Freund, Caroline & Spatafora, Nikola, 2008. "Remittances, transaction costs, and informality," Journal of Development Economics, Elsevier, vol. 86(2), pages 356-366, June.
    8. Johnson, George E & Whitelaw, W E, 1974. " Urban-Rural Income Transfers in Kenya: An Estimated-Remittances Function," Economic Development and Cultural Change, University of Chicago Press, vol. 22(3), pages 473-479, April.
    9. Rapoport, Hillel & Docquier, Frederic, 2006. "The Economics of Migrants' Remittances," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier.
    10. Frédéric Docquier & B. Lindsay Lowell & Abdeslam Marfouk, 2009. "A Gendered Assessment of Highly Skilled Emigration," Population and Development Review, The Population Council, Inc., vol. 35(2), pages 297-321.
    11. Adams Jr., Richard H., 2009. "The Determinants of International Remittances in Developing Countries," World Development, Elsevier, vol. 37(1), pages 93-103, January.
    12. Siegfried, Nikolaus & Schiopu, Ioana, 2006. "Determinants of workers' remittances: evidence from the European Neighbouring Region," Working Paper Series 688, European Central Bank.
    13. Ilahi, Nadeem & Jafarey, Saqib, 1999. "Guestworker migration, remittances and the extended family: evidence from Pakistan," Journal of Development Economics, Elsevier, vol. 58(2), pages 485-512, April.
    14. El-Sakka, M. I. T. & McNabb, Robert, 1999. "The Macroeconomic Determinants of Emigrant Remittances," World Development, Elsevier, vol. 27(8), pages 1493-1502, August.
    15. Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-918, October.
    16. World Bank, 2003. "Romania : Poverty Assessment, Volume 2. Background Papers," World Bank Other Operational Studies 14700, The World Bank.
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    Cited by:

    1. Docquier, Frédéric & Rapoport, Hillel & Salomone, Sara, 2012. "Remittances, migrants' education and immigration policy: Theory and evidence from bilateral data," Regional Science and Urban Economics, Elsevier, vol. 42(5), pages 817-828.
    2. Maëlan Le Goff & Sara Salomone, 2016. "Remittances and the Changing Composition of Migration," The World Economy, Wiley Blackwell, vol. 39(4), pages 513-529, April.
    3. Zizi Goschin & Monica Roman & Aura Popa, 2011. "Determinants of Romanian International Migrants' Remittances," ERSA conference papers ersa11p1001, European Regional Science Association.
    4. Ahmed, Junaid & Martínez-Zarzoso, Inmaculada, 2015. "Do transfer costs matter for foreign remittances? A gravity model approach," Economics Discussion Papers 2015-12, Kiel Institute for the World Economy (IfW).
    5. Ahmed, Junaid & Martinez-Zarzoso, Inmaculada, 2014. "What drives bilateral remittances to Pakistan? A gravity model approach," Center for European, Governance and Economic Development Research Discussion Papers 209, University of Goettingen, Department of Economics.
    6. Zizi Goschin, 2013. "The Remittances As A Potential Economic Growth Resource For Romania," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 2(15), pages 1-29.
    7. Goschin, Zizi, 2016. "Main Determinants of Romanian Emigration. A Regional Perspective," MPRA Paper 88829, University Library of Munich, Germany.
    8. Eralba Cela & Eros Moretti, 2013. "Gendered remittances of Romanians in Italy," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - Italian Review of Economics, Demography and Statistics, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 67(3-4), pages 79-86, July-Dece.
    9. Cornelia Serena, PASCA, 2016. "Monetary Remittance - Romania Case Study," Contemporary Economy Journal, Constantin Brancoveanu University, vol. 1(3), pages 50-59.
    10. Zizi GOSCHIN & Monica ROMAN, 2012. "Determinants of the remitting behaviour of Romanian emigrants in an economic crisis context," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 3, pages 87-103, December.
    11. repec:gam:jsusta:v:10:y:2018:i:4:p:1156-:d:140759 is not listed on IDEAS
    12. Maëlan Le Goff & Sara Salomone, 2015. "Changes in Migration Patterns and Remittances: Do Females and Skilled Migrants Remit More?," Working Papers 2015-15, CEPII research center.

    More about this item

    Keywords

    International migration; Remittances; Bilateral Data; Romania;

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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