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Short-term migration and consumption expenditure of households in rural India

Author

Listed:
  • S. Chandrasekhar

    () (Indira Gandhi Institute of Development Research)

  • Mousumi Das

    () (Indira Gandhi Institute of Development Research)

  • Ajay Sharma

    () (Indira Gandhi Institute of Development Research)

Abstract

In 2007-08, short-term migrants constituted 4.35 per cent of the rural workforce. A total of 9.25 million households in rural India had short-term migrants.Using a nationally representative data for rural India, this paper examines differences in consumption expenditure across households with and without a household member who is a short-migrant. We use an instrumental variable approach to control for the presence of a short-term migrant in a household. We find that households with a short-term migrant have lower monthly per capita consumption expenditure and monthly per capita food expenditure compared to households without a short-term migrant. Short-term migrants are not unionised, they work in the unorganised sector, they do not have written job contracts and state governments are yet to ensure that the legislations protecting them are properly enforced. This could be one of the reasons why we do not observe higher levels of expenditure in households with such migrants.

Suggested Citation

  • S. Chandrasekhar & Mousumi Das & Ajay Sharma, 2014. "Short-term migration and consumption expenditure of households in rural India," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2014-009, Indira Gandhi Institute of Development Research, Mumbai, India.
  • Handle: RePEc:ind:igiwpp:2014-009
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    References listed on IDEAS

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    More about this item

    Keywords

    Short-term migration; Household consumption; Rural-urban linkages;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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