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Does the Impact of Remittances on Poverty and Human Development Depend on the Climate of Receiving Areas?

Author

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  • Joseph, George
  • Wodon, Quentin

Abstract

This chapter uses matching techniques and a recent nationally representative household survey for Yemen combined with weather data to measure the impact of remittances, both domestic and international, on poverty and human development outcomes (school enrolment, immunization, and malnutrition). The estimations are carried both nationally and in areas with favorable and unfavorable climate. Remittances are found to have a statistically significant impact on many of the indicators, and this is especially the case for international remittances which tend to provide more resources to their beneficiaries. The impact of remittances on measures of poverty and malnutrition is also found to be stronger in districts that are affected by unfavorable climate (as measured through higher temperatures or lower levels of rainfall), while the impact of remittances on school enrollment is found to be stronger in areas with better climate. The results are consistent with households in the least favorable areas using their remittances to meet basic needs first, while households in better areas can use remittances flows for education investments.

Suggested Citation

  • Joseph, George & Wodon, Quentin, 2014. "Does the Impact of Remittances on Poverty and Human Development Depend on the Climate of Receiving Areas?," MPRA Paper 56517, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:56517
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    File URL: https://mpra.ub.uni-muenchen.de/56517/1/MPRA_paper_56517.pdf
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    References listed on IDEAS

    as
    1. Adams, Richard Jr. & Page, John, 2005. "Do international migration and remittances reduce poverty in developing countries?," World Development, Elsevier, vol. 33(10), pages 1645-1669, October.
    2. Flore Gubert, 2007. "Insurance Against Poverty," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 16(1), pages 172-175, January.
    3. Sanket Mohapatra & George Joseph & Dilip Ratha, 2012. "Remittances and natural disasters: ex-post response and contribution to ex-ante preparedness," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 14(3), pages 365-387, June.
    4. World Bank, 2010. "Yemen - Assessing the Impacts of Climate Change and Variability on the Water and Agricultural Sectors and the Policy Implications," World Bank Other Operational Studies 2943, The World Bank.
    5. repec:dau:papers:123456789/10855 is not listed on IDEAS
    6. World Bank, 2011. "Poor Places, Thriving People : How the Middle East and North Africa Can Rise Above Spatial Disparities
      [Lieux pauvres, populations prospères : Comment le Moyen-Orient et l'Afrique du Nord peuvent s
      ," World Bank Publications, The World Bank, number 2255, August.
    7. Paul Makdissi & Quentin Wodon, 2001. "Migration, Poverty, and Housing: Welfare Comparisons Using Sequential Stochastic Dominance," Cahiers de recherche 01-01, Departement d'Economique de l'École de gestion à l'Université de Sherbrooke, revised 2002.
    8. Michael Lokshin & Mikhail Bontch-Osmolovski & Elena Glinskaya, 2010. "Work-Related Migration and Poverty Reduction in Nepal," Review of Development Economics, Wiley Blackwell, vol. 14(2), pages 323-332, May.
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    Cited by:

    1. Wodon, Quentin & Liverani, Andrea, 2014. "Climate Change and Migration in the MENA Region: An Overview," MPRA Paper 56926, University Library of Munich, Germany.
    2. Wodon, Quentin & Burger, Nicholas & Grant, Audra & Liverani, Andrea, 2014. "Climate Change, Migration, and Adaptation in the MENA Region," MPRA Paper 56927, University Library of Munich, Germany.

    More about this item

    Keywords

    Climate change; Migration; Remittances; Human Development; Poverty; Yemen;

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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