IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp7582.html
   My bibliography  Save this paper

Remittances and Occupational Outcomes of the Household Members Left-Behind

Author

Listed:
  • Piracha, Matloob

    (University of Kent)

  • Randazzo, Teresa

    (University of Naples Parthenope)

  • Vadean, Florin

    (University of Kent)

Abstract

This paper analyses the role of remittances and migration on the occupational outcomes of the household members left behind in Tajikistan. Using the control function approach, we show that, contrary to some existing evidence, there is no "dependency" effect of remittances. Our results show that remittances received by households in Tajikistan have an important contribution to generate employment opportunities for those remaining in the country. This is likely to have a positive impact on the growth and development in Tajikistan. The results obtained are likely to have policy implications for other developing countries as well.

Suggested Citation

  • Piracha, Matloob & Randazzo, Teresa & Vadean, Florin, 2013. "Remittances and Occupational Outcomes of the Household Members Left-Behind," IZA Discussion Papers 7582, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp7582
    as

    Download full text from publisher

    File URL: https://docs.iza.org/dp7582.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Démurger, Sylvie & Xu, Hui, 2011. "Return Migrants: The Rise of New Entrepreneurs in Rural China," World Development, Elsevier, vol. 39(10), pages 1847-1861.
    2. Paulson, Anna L. & Townsend, Robert, 2004. "Entrepreneurship and financial constraints in Thailand," Journal of Corporate Finance, Elsevier, vol. 10(2), pages 229-262, March.
    3. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
    4. Bruce D. Meyer & Wallace K. C. Mok & James X. Sullivan, 2009. "The Under-Reporting of Transfers in Household Surveys: Its Nature and Consequences," NBER Working Papers 15181, National Bureau of Economic Research, Inc.
    5. Helena Holmlund & Mikael Lindahl & Erik Plug, 2011. "The Causal Effect of Parents' Schooling on Children's Schooling: A Comparison of Estimation Methods," Journal of Economic Literature, American Economic Association, vol. 49(3), pages 615-651, September.
    6. Ralph Chami & Connel Fullenkamp & Samir Jahjah, 2005. "Are Immigrant Remittance Flows a Source of Capital for Development?," IMF Staff Papers, Palgrave Macmillan, vol. 52(1), pages 55-81, April.
    7. Dean Yang, 2008. "International Migration, Remittances and Household Investment: Evidence from Philippine Migrants' Exchange Rate Shocks," Economic Journal, Royal Economic Society, vol. 118(528), pages 591-630, April.
    8. Francisca M. Antman, 2013. "The impact of migration on family left behind," Chapters, in: Amelie F. Constant & Klaus F. Zimmermann (ed.), International Handbook on the Economics of Migration, chapter 16, pages 293-308, Edward Elgar Publishing.
    9. Dustmann, Christian & Kirchkamp, Oliver, 2002. "The optimal migration duration and activity choice after re-migration," Journal of Development Economics, Elsevier, vol. 67(2), pages 351-372, April.
    10. Amelie F. Constant & Klaus F. Zimmermann (ed.), 2013. "International Handbook on the Economics of Migration," Books, Edward Elgar Publishing, number 4026.
    11. Patricia Justino & Olga Shemyakina, 2012. "Remittances and labor supply in post-conflict Tajikistan," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 1(1), pages 1-28, December.
    12. Adams, Richard H, Jr, 1998. "Remittances, Investment, and Rural Asset Accumulation in Pakistan," Economic Development and Cultural Change, University of Chicago Press, vol. 47(1), pages 155-173, October.
    13. Piracha, Matloob & Vadean, Florin, 2009. "Return Migration and Occupational Choice," IZA Discussion Papers 3922, Institute of Labor Economics (IZA).
    14. Gustaf Bruze, 2011. "Marriage Choices of Movie Stars: Does Spouse's Education Matter?," Journal of Human Capital, University of Chicago Press, vol. 5(1), pages 1-28.
    15. Thomas Bauer & Mathias Sinning, 2010. "Blinder-Oaxaca decomposition for Tobit models," Applied Economics, Taylor & Francis Journals, vol. 42(12), pages 1569-1575.
    16. Mendola, Mariapia & Carletto, Calogero, 2012. "Migration and gender differences in the home labour market: Evidence from Albania," Labour Economics, Elsevier, vol. 19(6), pages 870-880.
    17. Andrew M. Gill, 1989. "The Role of Discrimination in Determining Occupational Structure," ILR Review, Cornell University, ILR School, vol. 42(4), pages 610-623, July.
    18. Woodruff, Christopher & Zenteno, Rene, 2007. "Migration networks and microenterprises in Mexico," Journal of Development Economics, Elsevier, vol. 82(2), pages 509-528, March.
    19. Piracha, Matloob & Vadean, Florin, 2010. "Return Migration and Occupational Choice: Evidence from Albania," World Development, Elsevier, vol. 38(8), pages 1141-1155, August.
    20. Banerjee, Abhijit V & Newman, Andrew F, 1993. "Occupational Choice and the Process of Development," Journal of Political Economy, University of Chicago Press, vol. 101(2), pages 274-298, April.
    21. Julie Litchfield & Barry Reilly, 2009. "Modelling Migration Attempts And The Role Of Gender In Albania," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 54(182), pages 7-39, July – Se.
    22. Alice Mesnard, 2004. "Temporary migration and capital market imperfections," Oxford Economic Papers, Oxford University Press, vol. 56(2), pages 242-262, April.
    23. Andrews,Donald W. K. & Stock,James H. (ed.), 2005. "Identification and Inference for Econometric Models," Cambridge Books, Cambridge University Press, number 9780521844413, September.
    24. repec:bla:econom:v:57:y:1990:i:226:p:171-99 is not listed on IDEAS
    25. World Bank, 2009. "Tajikistan : Poverty Assessment," World Bank Publications - Reports 3159, The World Bank Group.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Abdulloev, Ilhom, 2020. "Changes in the Forsaken Schooling and Migration Relationship in Tajikistan," IZA Discussion Papers 13435, Institute of Labor Economics (IZA).
    2. Abdulloev Ilhom & Epstein Gil S. & Gang Ira N., 2020. "Migration and Forsaken Schooling in Kyrgyzstan, Tajikistan, and Uzbekistan," IZA Journal of Development and Migration, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 11(1), pages 1-27, January.
    3. Kamalbek Karymshakov & Burulcha Sulaimanova, 2017. "Migration impact on left-behind women’s labour participation and time-use: Evidence from Kyrgyzstan," WIDER Working Paper Series 119, World Institute for Development Economic Research (UNU-WIDER).
    4. Abdulloev Ilhom & Epstein Gil S. & Gang Ira N., 2020. "A Downside to the Brain Gain Story," Economics, Sciendo, vol. 8(2), pages 9-20, December.
    5. Artjoms Ivlevs, 2016. "Remittances and informal work," International Journal of Manpower, Emerald Group Publishing Limited, vol. 37(7), pages 1172-1190, October.
    6. Shair, Waqas & Tariq Majeed, Muhammad & Ali, Amjad, 2021. "Labour Participation Decision and Preferences towards Different Employment Status in Response to Remittances: Evidence from the Provincial Capital of Punjab and Khyber Pakhtunkhawa (KPK), Pakistan," MPRA Paper 106330, University Library of Munich, Germany.
    7. Abdulloev, Ilhom & Epstein, Gil S. & Gang, Ira N., 2019. "Schooling Forsaken: Education and Migration," IZA Discussion Papers 12088, Institute of Labor Economics (IZA).
    8. Abdulloev, Ilhom & Epstein, Gil S. & Gang, Ira N., 2020. "Job Status, International Migration and Educational Choice," GLO Discussion Paper Series 709, Global Labor Organization (GLO).
    9. Ghimire, Tinusha & Harou, Aurélie P. & Balasubramanya, Soumya, 2023. "Migration, gender labor division and food insecurity in Tajikistan," Food Policy, Elsevier, vol. 116(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Anghel, Remus Gabriel & Piracha, Matloob & Randazzo, Teresa, 2015. "Migrants' Remittances: Channelling Globalization," IZA Discussion Papers 9516, Institute of Labor Economics (IZA).
    2. Naudé, Wim & Siegel, Melissa & Marchand, Katrin, 2015. "Migration, entrepreneurship and development: A critical review," MERIT Working Papers 2015-033, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    3. Indra Kant Bharti & Tulika Tripathi, 2020. "Effect of Remittance on Intergenerational Mobility in Case of Occupation," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 63(4), pages 1203-1221, December.
    4. Corrado Giulietti & Jackline Wahba & Klaus F. Zimmermann, 2013. "Entrepreneurship of the Left-Behind," Research in Labor Economics, in: Labor Market Issues in China, pages 65-92, Emerald Group Publishing Limited.
    5. Marcus H. Böhme, 2015. "Does migration raise agricultural investment? An empirical analysis for rural Mexico," Agricultural Economics, International Association of Agricultural Economists, vol. 46(2), pages 211-225, March.
    6. Ahortor, Christian R.K. & Adenutsi, Deodat E., 2008. "The impact of remittances on economic growth in small-open developing economies," MPRA Paper 37109, University Library of Munich, Germany.
    7. Dean Yang, 2008. "International Migration, Remittances and Household Investment: Evidence from Philippine Migrants' Exchange Rate Shocks," Economic Journal, Royal Economic Society, vol. 118(528), pages 591-630, April.
    8. Bossavie, Laurent & Görlach, Joseph-Simon & Özden, Çağlar & Wang, He, 2024. "Capital Markets, Temporary Migration and Entrepreneurship: Evidence from Bangladesh," World Development, Elsevier, vol. 176(C).
    9. Démurger, Sylvie & Xu, Hui, 2011. "Return Migrants: The Rise of New Entrepreneurs in Rural China," World Development, Elsevier, vol. 39(10), pages 1847-1861.
    10. Marchetta, Francesca, 2012. "Return Migration and the Survival of Entrepreneurial Activities in Egypt," World Development, Elsevier, vol. 40(10), pages 1999-2013.
    11. Laurent Bossavie & Çağlar Özden, 2023. "Impacts of Temporary Migration on Development in Origin Countries," The World Bank Research Observer, World Bank, vol. 38(2), pages 249-294.
    12. Göbel, Kristin, 2012. "Remittances and Gender-Speci fic Employment Patterns in Peru - a longitudinal Analysis," VfS Annual Conference 2012 (Goettingen): New Approaches and Challenges for the Labor Market of the 21st Century 65409, Verein für Socialpolitik / German Economic Association.
    13. Anzoategui, Diego & Demirgüç-Kunt, Asli & Martínez Pería, María Soledad, 2014. "Remittances and Financial Inclusion: Evidence from El Salvador," World Development, Elsevier, vol. 54(C), pages 338-349.
    14. Catia Batista & Tara McIndoe- Calder & Pedro C. Vicente, 2014. "Return Migration, Self-Selection and Entrepreneurship in Mozambique," RF Berlin - CReAM Discussion Paper Series 1417, Rockwool Foundation Berlin (RF Berlin) - Centre for Research and Analysis of Migration (CReAM).
    15. Durga Prasad Gautam, 2017. "Remittance inflows and starting a business," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing Limited, vol. 6(3), pages 290-314, November.
    16. Jakhongir Kakhkharov, 2017. "Remittances and household investment in entrepreneurship: The case of Uzbekistan," Discussion Papers in Finance finance:201703, Griffith University, Department of Accounting, Finance and Economics.
    17. Yang, Dean, 2009. "International Migration and Human Development," MPRA Paper 19212, University Library of Munich, Germany.
    18. Bharati Basu & Irudaya Rajan, 2018. "Investment Expenditure Behavior of Remittance Receiving Households: An Analysis Using Reserve Bank of India Data," Migration Letters, Migration Letters, vol. 15(3), pages 303-320, July.
    19. Hanson, Gordon H., 2010. "International Migration and the Developing World," Handbook of Development Economics, in: Dani Rodrik & Mark Rosenzweig (ed.), Handbook of Development Economics, edition 1, volume 5, chapter 0, pages 4363-4414, Elsevier.
    20. Michael A. Clemens & Timothy N. Ogden, 2020. "Migration and household finances: How a different framing can improve thinking about migration," Development Policy Review, Overseas Development Institute, vol. 38(1), pages 3-27, January.

    More about this item

    Keywords

    control function approach; remittances; occupational choice; Tajikistan;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp7582. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Holger Hinte (email available below). General contact details of provider: https://edirc.repec.org/data/izaaade.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.