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Economic Impact of Migration on a Rural Area in Bangladesh

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  • Pierre-Yves Beaudouin

    (CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

Abstract

The main objective of the paper is to analyze the effects of migration on sending countries. The objectives are to analyze the direct and indirect effects of migration on the migrant household income, to measure the opposed effects and to discuss the policy implication of our results.The study is based on a Three Stage Least Squares estimator to determine and measure the net impact of migration on the household income. The empirical study show a negative effect of the loss of labor on the total income. However, this effect is compensate by remittances sent home by migrants. When we decompose the income in three sources of income (farm, self-employed and wage), we find these two opposed effects for the farm income, but no effect of remittances on wage income and only a negative effect of migration for self-employed income earned by the household.

Suggested Citation

  • Pierre-Yves Beaudouin, 2006. "Economic Impact of Migration on a Rural Area in Bangladesh," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-05021705, HAL.
    • Handle: RePEc:hal:cesptp:hal-05021705
    Note: View the original document on HAL open archive server: https://hal.science/hal-05021705v1
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    References listed on IDEAS

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    1. 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.
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