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Assessing the Impact of Massive Out-Migration on Agriculture

  • Nancy McCarthy

    (International Food Policy Research Institute Washington, D. C.)

  • Gero Carletto

    (World Bank, Washington D.C. USA)

  • Benjamin Davis

    (Agricultural and Development Economics Division, Food and Agriculture Organization)

  • Irini Maltsoglou

    (Food and Agriculture Organization)

Over the past several years, rural areas in transition countries have experienced a structural transformation of their agricultural sectors combined with profound demographic changes, primarily due to massive out-migration towards urban areas and abroad. Despite the potential relevance of migration – and the resulting remittances – in fostering, or hindering, transformation in agriculture, very little is understood about the linkages between these activities. Using data from two waves of the Albania Panel Survey carried out between 2002 and 2003, this paper is an attempt to contribute to a better understanding of the role migration has played in the re-allocation of resources in agriculture among migrant families in Albania, a country which epitomizes the power of change associated with out-migration. As per the hypothesis, our findings suggest that migration exerts a strong downward pressure on agricultural labor per capita. However, the evidence also suggests that the loss in household labor in agriculture is compensated by increased access to capital, leading to overall improvements in both agricultural and total incomes.

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Paper provided by Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA) in its series Working Papers with number 06-14.

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Length: 31 pages
Date of creation: 2006
Date of revision:
Handle: RePEc:fao:wpaper:0614
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  1. Swinnen, Johan F.M. & Dries, Liesbeth & Macours, Karen, 2001. "Transition And Agricultural Labour," 2001 Annual meeting, August 5-8, Chicago, IL 20602, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Mariapia MENDOLA, 2005. "Migration and technological change in rural households: complements or substitutes?," Departmental Working Papers 2005-15, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
  3. Taylor, J Edward & Rozelle, Scott & de Brauw, Alan, 2003. "Migration and Incomes in Source Communities: A New Economics of Migration Perspective from China," Economic Development and Cultural Change, University of Chicago Press, vol. 52(1), pages 75-101, October.
  4. Jorge Durand & William Kandel & Emilio Parrado & Douglas Massey, 1996. "International migration and development in mexican communities," Demography, Springer, vol. 33(2), pages 249-264, May.
  5. World Bank & World Bank, 2003. "Albania : Poverty Assessment," World Bank Other Operational Studies 14605, The World Bank.
  6. Stark, Oded & Bloom, David E, 1985. "The New Economics of Labor Migration," American Economic Review, American Economic Association, vol. 75(2), pages 173-78, May.
  7. Gero Carletto & Benjamin Davis & Marco Stampini, 2005. "Familiar Faces, Familiar Places: The role of family networks and previous experience for Albanian migrants," Working Papers 05-03, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
  8. Serra, Teresa & Zilberman, David & Goodwin, Barry K. & Featherstone, Allen M., 2005. "Effects of Decoupling on the Average and the Variability of Output," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24601, European Association of Agricultural Economists.
  9. Gero Carletto & Benjamin Davis & Marco Stampini & Stefano Trento & Alberto Zezza, 2004. "Internal Mobility and International Migration in Albania," Working Papers 04-13, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
  10. Michael Kevane, 1996. "Agrarian Structure and Agricultural Practice: Typology and Application to Western Sudan," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 236-245.
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