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Identifying the Motives of Migrant Philanthropy

  • Matthias Lücke
  • Toman Omar Mahmoud
  • Christian Peuker

Donations by migrants to community projects in their home countries (“collective remittances”) help to provide local public goods and may promote economic development. We draw on the literatures on migrant remittances and on philanthropy in general to identify possible motives for collective remittances. We test the empirical relevance of these motives using micro-level data from Eastern Europe. Our results suggest a mix of motives including altruism, exchange, and concern about future membership rights in the community of origin. We also find that communities with a high degree of ethnic fragmentation and a wide dispersion of migrants across destination countries are less likely to receive collective remittances

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Paper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 1790.

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Length: 28 pages
Date of creation: Aug 2012
Date of revision:
Handle: RePEc:kie:kieliw:1790
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  1. James Andreoni & Abigail Payne & Justin Smith & David Karp, 2012. "Diversity and Donations: The Effect of Religious and Ethnic Diversity on Charitable Giving," The Centre for Market and Public Organisation 12/289, Department of Economics, University of Bristol, UK.
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  4. Alberto Alesina & Eliana La Ferrara, 1999. "Participation in Heterogeneous Communities," NBER Working Papers 7155, National Bureau of Economic Research, Inc.
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  8. Toman Omar Mahmoud & Hillel Rapoport & Andreas Steinmayr & Christoph Trebesch, 2013. "The Effect of Labor Migration on the Diffusion of Democracy: Evidence from a Former Soviet Republic," CESifo Working Paper Series 4389, CESifo Group Munich.
  9. Clemens, Michael A. & Montenegro, Claudio E. & Pritchett, Lant, 2009. "The Place Premium: Wage Differences for Identical Workers Across the US Border," Scholarly Articles 4412631, Harvard Kennedy School of Government.
  10. Luecke, Matthias & Omar Mahmoud, Toman & Steinmayr, Andreas, 2009. "Labour migration and remittances in Moldova: Is the boom over?: Trends and preliminary findings from the IOM-CBSAXA panel household survey 2006- 2008," Open Access Publications from Kiel Institute for the World Economy 32525, Kiel Institute for the World Economy (IfW).
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  12. Görlich, Dennis & Trebesch, Christoph, 2008. "Seasonal migration and networks-evidence on Moldova’s labour exodus," Munich Reprints in Economics 20444, University of Munich, Department of Economics.
  13. Rapoport, Hillel & Docquier, Frederic, 2006. "The Economics of Migrants' Remittances," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier.
  14. DELPIERRE Matthieu & VERHEYDEN Bertrand, 2010. "Remittances as pure or precautionary investment? Risk, savings and return migration," LISER Working Paper Series 2010-39, LISER.
  15. Aparicio, Francisco Javier & Meseguer, Covadonga, 2012. "Collective Remittances and the State: The 3×1 Program in Mexican Municipalities," World Development, Elsevier, vol. 40(1), pages 206-222.
  16. Osili, Una Okonkwo, 2004. "Migrants and Housing Investments: Theory and Evidence from Nigeria," Economic Development and Cultural Change, University of Chicago Press, vol. 52(4), pages 821-49, July.
  17. Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-18, October.
  18. David McKenzie & John Gibson & Steven Stillman, 2006. "How Important is Selection? Experimental vs Non-experimental Measures of the Income Gains of Migration," Working Papers 06_02, Motu Economic and Public Policy Research.
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