IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/90152.html
   My bibliography  Save this paper

Pakistan: Migration, Remittances, and Development

Author

Listed:
  • Siddiqui, Rizwana

Abstract

The study investigates micro and macro effects of international migration and foreign remittances using (1) comparative static CGE model, (2) dynamic CGE model, (3) Econometric estimation. It uses data from two Social Accounting Matrices for the years 1990 and 2002 to operationalise CGE models and time series data for econometric estimation. The results of the study suggest that migration has upward pressure on wages. This leads to increase in consumption that have welfare improving and poverty reducing impact on both rural and urban households. However, it benefits more to urban households. Consequently, despite increase in standard of living, the gap between urban and rural households increases in both years –1990 and 2002. The remittances inflow in 2002 have strong positive effect than that in 1990 on macro aggregates. But poverty effects are higher in 1990. Analysis in dynamic CGE framework suggests that outflow of labour and inflow of remittances has not stimulated growth process. Econometric estimation reveals that the impact of remittances on poverty depends on the region from where remittances originates—Middle east or developed countries. Remittances from middle east have poverty reducing impact, but remittances from developed countries have no impact on poverty.

Suggested Citation

  • Siddiqui, Rizwana, 2009. "Pakistan: Migration, Remittances, and Development," MPRA Paper 90152, University Library of Munich, Germany, revised 2010.
  • Handle: RePEc:pra:mprapa:90152
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/90152/1/MPRA_paper_90152.pdf
    File Function: original version
    Download Restriction: no

    References listed on IDEAS

    as
    1. Rizwana Siddiqui & Zafar Iqbal, 1999. "Social Accounting Matrix of Pakistan for 1989-90," PIDE-Working Papers 1999:171, Pakistan Institute of Development Economics.
    2. Rizwana Siddiqui, 2009. "Modeling Gender Effects of Pakistan's Trade Liberalization," Feminist Economics, Taylor & Francis Journals, vol. 15(3), pages 287-321.
    3. Rizwana Siddiqui, 2007. "Dynamic Effects of Agriculture Trade in the Context of Domestic and Global Liberalisation : A CGE Analysis for Pakistan," Trade Working Papers 22220, East Asian Bureau of Economic Research.
    4. Ijaz Gilani & M. Fahim Khan & Munawar Iqbal, 1981. "Labour Migration from Pakistan to the Middle East and its Impact on the Domestic Economy. Part III (Sample Design & Field-Work)," PIDE-Working Papers 1981:128, Pakistan Institute of Development Economics.
    5. Dorosh, Paul & Niazi, Muhammad Khan, 2006. "Social Accounting Matrix for Pakistan, 2001-02: Methodology and Results," MPRA Paper 2242, University Library of Munich, Germany.
    6. Zafar Iqbal & Abdus Sattar, 2005. "The Contribution of Workers’Remittances to Economic Growth in Pakistan," PIDE-Working Papers 2005:187, Pakistan Institute of Development Economics.
    7. Ijaz Gilani & M. Fahim Khan & Munawar Iqbal, 1981. "Labour Migration from Pakistan to the Middle East and Its Impact on the Domestic Economy Part I (Cost-Benefit Analysis)," PIDE-Working Papers 1981:126, Pakistan Institute of Development Economics.
    8. G. M. Arif, 1999. "Remittances and Investments at the Household Level in Pakistan," PIDE-Working Papers 1999:166, Pakistan Institute of Development Economics.
    9. Mohammad Irfan, 1986. "Migration and Development in Pakistan. Some Selected Issues," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 25(4), pages 743-755.
    10. Sohail J. Malik & Naeem Sarwar, 1993. "Some Tests for Differences in Consumption Patterns: The Impact of Remittances Using Household Income and Expenditure Survey Data of Pakistan 1987-88," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 32(4), pages 699-711.
    11. Decaluwe, B. & Patry, A. & Savard, L. & Thorbecke, E., 1999. "Poverty Analysis Within a General Equilibrium Framework," Cahiers de recherche 9909, Université Laval - Département d'économique.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Pakistan; Migration; Remittances; Development;

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty

    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:pra:mprapa:90152. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.