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Do Cash Transfers to Farmers Reduce Migration? Procampo in Mexico

  • Gabriel Gonzalez-Konig

    (Department of Economics and Finance, Universidad de Guanajuato)

  • Quentin Wodon


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    This paper provides a theoretical model to suggest that if cash transfers for farmers have or are perceived to have conditionalities in terms of location (whereby at least some household members must remain at the place of origin to benefit from the transfers), their impact on temporary and permanent migration is uncertain a priori. To test empirically what the impact of the transfers could be, we use data on Procampo, a large transfer program for rural farmers in Mexico implemented since 1994. We find that the impact of Procampo on both permanent and temporary migration has been negative.

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    File Function: Revised version, 2005
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    Paper provided by Universidad de Guanajuato, Department of Economics and Finance in its series Department of Economics and Finance Working Papers with number EC200501.

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    Length: 18 pages
    Date of creation: Jun 2005
    Date of revision: Aug 2005
    Handle: RePEc:gua:wpaper:ec200501
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