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Migration, Remittances, Poverty and Inequality The Philippines

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  • Ernesto M. Pernia

    (School of Economics, University of the Philippines Diliman)

Abstract

The paper looks into the effects of international migration and remittances on household incomes and well-being, poverty reduction, human capital investment, saving, and regional development in the home country. Remittances appear to raise average incomes for all income groups but more so for the richer households than for the poorer ones, a finding that is consistent with that in several Latin American countries. Such eyeballing of the data is supported by econometric analysis which further reveals that remittances enhance household savings, spending on education and health care, and help the poor move out of poverty. Analysis at the regional level shows that, ceteris paribus, remittances also appear to contribute importantly to regional development, although overall increases in regional incomes do not seem to benefit low income households as much as the upper income ones.

Suggested Citation

  • Ernesto M. Pernia, 2008. "Migration, Remittances, Poverty and Inequality The Philippines," UP School of Economics Discussion Papers 200801, University of the Philippines School of Economics.
  • Handle: RePEc:phs:dpaper:200801
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    File URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/21/15
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    References listed on IDEAS

    as
    1. Dean Yang, 2004. "International Migration, Human Capital, and Entrepreneurship: Evidence from Philippine Migrants’ Exchange Rate Shocks," Working Papers 531, Research Seminar in International Economics, University of Michigan.
    2. Rodriguez, Edgard R, 1998. "International Migration and Income Distribution in the Philippines," Economic Development and Cultural Change, University of Chicago Press, vol. 46(2), pages 329-350, January.
    3. Pernia, Ernesto M. & Quibria, M.G., 1999. "Poverty in developing countries," Handbook of Regional and Urban Economics,in: P. C. Cheshire & E. S. Mills (ed.), Handbook of Regional and Urban Economics, edition 1, volume 3, chapter 45, pages 1865-1934 Elsevier.
    4. M. Pernia , Ernesto & S. Salas, J. M. Ian, 2006. "Investment Climate, Productivity, and Regional Development in a Developing Country," Asian Development Review, Asian Development Bank, vol. 23(2), pages 70-89.
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    Cited by:

    1. Geoffrey Ducanes, 2012. "Are remittances inducing laziness in households?: a reexamination of the evidence," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 49(2), pages 1-24, December.
    2. Moises Neil V. Serino & Donghun Kim, 2011. "How Do International Remittances Affect Poverty In Developing Countries? A Quantile Regression Analysis," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 36(4), pages 17-40, December.
    3. repec:taf:rjapxx:v:15:y:2010:i:1:p:45-58 is not listed on IDEAS

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