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The shadow value of migrant remittances, income and inequality in a household‐farm economy

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  • J. Taylor
  • T.J. Wyatt

Abstract

This article offers econometric evidence that income remittances sent home by family migrants stimulate household‐farm incomes indirectly by relieving credit and risk constraints on household‐farm production. A high but unequally distributed shadow value of migrant remittances appears to reinforce an equalising direct effect of remittances on the income distribution across a sample of household‐farms in rural Mexico.

Suggested Citation

  • J. Taylor & T.J. Wyatt, 1996. "The shadow value of migrant remittances, income and inequality in a household‐farm economy," Journal of Development Studies, Taylor & Francis Journals, vol. 32(6), pages 899-912.
  • Handle: RePEc:taf:jdevst:v:32:y:1996:i:6:p:899-912
    DOI: 10.1080/00220389608422445
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    References listed on IDEAS

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    Cited by:

    1. Jude Eggoh & Chrysost Bangake & Gervasio Semedo, 2019. "Do remittances spur economic growth? Evidence from developing countries," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 28(4), pages 391-418, May.
    2. Bang, James T. & Mitra, Aniruddha & Wunnava, Phanindra V., 2018. "Hollowing Out the Middle? Remittances and Income Inequality in Nigeria," IZA Discussion Papers 11438, Institute of Labor Economics (IZA).
    3. Adnan KHURSHID & Yin KEDONG & Adrian Cantemir CĂLIN & Zhaosu MENG & Naila NAZIR, 2018. "Remittances Inflows, Gain of Foreign Exchange or Trade Loss? New Evidence from Low, Lower-Middle and Middle-Income Groups," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 20-41, December.
    4. Siméon Maxime Bikoue, 2020. "African Migrants and Remittances: Impact on Growth and Development of their Home Countries," Business and Economic Research, Macrothink Institute, vol. 10(3), pages 292-310, September.
    5. Nuñez, Roy & Osorio-Caballero, María Isabel, 2021. "Remittances, migration and poverty. A study for Mexico and Central America," MPRA Paper 106018, University Library of Munich, Germany.
    6. Bresciani, F. & Imai, K.S. & Malaeb, B., 2017. "IFAD RESEARCH SERIES 15 - Remittances, growth and poverty reduction in Asia," IFAD Research Series 280053, International Fund for Agricultural Development (IFAD).
    7. Elisabetta Lodigiani & Luca Marchiori & I-Ling Shen, 2016. "Revisiting the Brain Drain Literature with Insights from a Dynamic General Equilibrium World Model," The World Economy, Wiley Blackwell, vol. 39(4), pages 557-573, April.
    8. SeyedSoroosh Azizi, 2021. "The impacts of workers’ remittances on poverty and inequality in developing countries," Empirical Economics, Springer, vol. 60(2), pages 969-991, February.
    9. Umar Mohammed, 2021. "Re-examining the Impact of Remittances on Human Development: Evidence from Sub-Saharan Africa," Scientia Moralitas Conference Proceedings 01237, Research Association for Interdisciplinary Studies.
    10. Das, Prabir & Saha, Jay & Chouhan, Pradip, 2020. "Effects of labor out-migration on socio-economic set-up at the place of origin: Evidence from rural India," Children and Youth Services Review, Elsevier, vol. 119(C).
    11. Kazi Abdul, Mannan, 2016. "Labour migration between developing economy to developing country: A case study of Bangladesh and Malaysia," MPRA Paper 97429, University Library of Munich, Germany, revised 2016.
    12. Munim K. Barai, 2012. "Development Dynamics of Remittances in Bangladesh," SAGE Open, , vol. 2(1), pages 21582440124, January.
    13. Mitra, Aniruddha & Bang, James T. & Abbas, Faisal, 2021. "Do remittances reduce women’s acceptance of domestic violence? Evidence from Pakistan," World Development, Elsevier, vol. 138(C).
    14. Sauer, J. & Gorton, M. & Davidova, S., 2014. "Migration and Agricultural Efficiency – Empirical Evidence for Kosovo," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 49, March.
    15. Kapri, Kul & Ghimire, Shankar, 2020. "Migration, remittance, and agricultural productivity: Evidence from the Nepal Living Standard Survey," World Development Perspectives, Elsevier, vol. 19(C).
    16. Dorsaf Srdid & Wafa Ghardallou, 2019. "Remittances and Disaggregated Country Risk Ratings in Tunisia: An ARDL Approach," Working Papers 1326, Economic Research Forum, revised 21 Aug 2019.
    17. Huang, Senwei & Zhang, Yaoqi & Zheng, Yifang & Su, Shipeng & Zheng, Jing, 2019. "Inequality and small landholdings: Path dependence, land use and wellbeing," Forest Policy and Economics, Elsevier, vol. 98(C), pages 62-66.
    18. la Briere, Benedicte de & de Janvry, Alain & Lambert, Sylvie & Sadoulet, Elisabeth, 1998. "Why Do Migrants Remit? An Analysis for the Dominican Sierra," CUDARE Working Papers 198666, University of California, Berkeley, Department of Agricultural and Resource Economics.
    19. Hui Zhang & Yumeng Zhang & Shuang Wu & Rong Cai, 2020. "The Effect of Labor Migration on Farmers’ Cultivated Land Quality Protection," Sustainability, MDPI, Open Access Journal, vol. 12(7), pages 1-14, April.
    20. Md Shahadath Hossain & Adesola Sunmoni, 2021. "Do Remittances Influence Household Investment Decisions? Evidence from Sub-Saharan Africa," Economics Discussion Papers em-dp2021-04, Department of Economics, University of Reading.
    21. B. Gabriela Mundaca, 2009. "Remittances, Financial Market Development, and Economic Growth: The Case of Latin America and the Caribbean," Review of Development Economics, Wiley Blackwell, vol. 13(2), pages 288-303, May.
    22. Durga Prasad Gautam, 2017. "Remittance inflows and starting a business," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing, vol. 6(3), pages 290-314, November.
    23. Majeed, Muhammad Tariq, 2015. "Distributional Consequences of Remittances: Evidence from Sixty-Five Developing Countries," MPRA Paper 88673, University Library of Munich, Germany, revised 2016.
    24. Richard Brown & Gareth Leeves, 2011. "Comparative effects of migrants' remittances on composition of recipient household income in two small, island economies," Applied Economics, Taylor & Francis Journals, vol. 43(27), pages 3965-3976.
    25. Özcan Dağdemir & Zeki Kartal & Rukiye Tinas & Hüseyin Gürbüz, 2018. "The Impact of Migration on Poverty and Income Distribution in a Rural Region in Turkey," Remittances Review, Transnational Press London, UK, vol. 3(2), pages 151-176, October.

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