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Remittances and Informal Work

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  • Ivlevs, Artjoms

    () (University of the West of England, Bristol)

Abstract

This paper studies the effects of remittances on informal employment in the migrants' countries of origin, looking both at the remittance-receiving and non-migrant households. Using data from the Social Exclusion Survey, conducted in six transition economies in 2009, I find that receiving remittances increases the likelihood of working informally. At the regional level, high prevalence of remittances is associated with a higher likelihood of informal work among non-migrant households. Migration and remittances may thus be contributing to informal employment in migration-sending countries.

Suggested Citation

  • Ivlevs, Artjoms, 2016. "Remittances and Informal Work," IZA Discussion Papers 10196, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp10196
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    Cited by:

    1. Schneider, Friedrich & Khan, Shabeer & Baharom Abdul Hamid & Khan, Abidullah, 2019. "Does the tax undermine the effect of remittances on shadow economy?," Economics Discussion Papers 2019-67, Kiel Institute for the World Economy (IfW).

    More about this item

    Keywords

    transition economies; non-migrant households; informal work; migration; remittances; two stage residual inclusion;

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • J46 - Labor and Demographic Economics - - Particular Labor Markets - - - Informal Labor Market
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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