Remittances and Household Welfare: A Case Study of Pakistan
This paper examines the impact of remittances on economy and household welfare in Pakistan by using a general equilibrium framework and microeconometric analysis. The first approach is to highlight the macroeconomic and sectoral effects of a reduction in remittances, while the second is to show how remittances decrease the probability of being poor and affect the household consumption expenditure and hence poverty. The findings suggest that reduction in remittances will reduce gross domestic product, investment, and household consumption, which in turn will increase poverty. On the other hand, the probability of households becoming poor decreases by 12.7% if they receive remittances. The poverty headcount ratio and Gini coefficient decline by 7.8% and 4.8%, respectively, for household-receiving remittances. Given the important role of remittance, the key challenge for the government is to provide incentives to attract more remittances sent through formal channels and ensure their productive use.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||Feb 2010|
|Date of revision:|
|Contact details of provider:|| Postal: P.O. Box 789, Manila|
Fax: (63-2) 636-2648
Web page: http://www.adb.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Barham, Bradford & Boucher, Stephen, 1998. "Migration, remittances, and inequality: estimating the net effects of migration on income distribution," Journal of Development Economics, Elsevier, vol. 55(2), pages 307-331, April.
- G. M. Arif, 1999. "Remittances and Investments at the Household Level in Pakistan," PIDE-Working Papers 1999:166, Pakistan Institute of Development Economics.
- Rashid Amjad, 1986. "Impact of Workers' Remittances from the Middle East on Pakistan's Economy: Some Selected Issues," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 25(4), pages 757-785.
- Louka T. Katseli & Robert E.B. Lucas & Theodora Xenogiani, 2006. "Effects of Migration on Sending Countries: What Do We Know?," OECD Development Centre Working Papers 250, OECD Publishing.
- -, 2006. "200 Million Migrants Worldwide," Sede Subregional de la CEPAL para el Caribe (Estudios e Investigaciones) 1, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
- Ahmed, Vaqar & O' Donoghue, Cathal, 2008. "Welfare impact of external balance in pakistan: CGE-microsimulation analysis," MPRA Paper 9267, University Library of Munich, Germany.
- John Page & Sonia Plaza, 2006. "Migration Remittances and Development: A Review of Global Evidence," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 15(2), pages 245-336, December.
- 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.
- Taylor, J. Edward & Mora, Jorge & Adams, Richard H., Jr., 2005.
"Remittances, Inequality and Poverty: Evidence from Rural Mexico,"
2005 Annual meeting, July 24-27, Providence, RI
19245, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Taylor, J. Edward & Mora, Jorge & Adams, Richard H., Jr. & Lopez-Feldman, Alejandro, 2005. "Remittances, Inequality and Poverty: Evidence from Rural Mexico," Working Papers 60287, University of California, Davis, Department of Agricultural and Resource Economics.
- Paolo E Giordani & Michele Ruta, 2008.
"Prejudice and Immigration,"
Levine's Working Paper Archive
122247000000002276, David K. Levine.
- José Ernesto López Córdova, 2006.
"Globalization, Migration and Development: The Role of Mexican Migrant Remittances,"
IDB Publications (Working Papers)
9387, Inter-American Development Bank.
- Ernesto López-Córdova, 2005. "Globalization, Migration, and Development: The Role of Mexican Migrant Remittances," ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, ECONOMIA JOURNAL OF THE LATIN AMERICAN AND CARIBBEAN ECONOMIC ASSOCIATION, vol. 0(Fall 2005), pages 217-248, August.
- Ernesto LÃ³pez CÃ³rdova, 2004. "Globalization, Migration and Development: The Role of Mexican Migrant Remittances," Econometric Society 2004 Latin American Meetings 82, Econometric Society.
- Un-Habitat, 2006. "Report of the third Session of the World Urban Forum," Working Papers id:557, eSocialSciences.
- Gustafsson, Bjorn & Makonnen, Negatu, 1993. "Poverty and Remittances in Lesotho," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 2(1), pages 49-73, May.
- Lanzona, Leonardo A., 1998. "Migration, self-selection and earnings in Philippine rural communities," Journal of Development Economics, Elsevier, vol. 56(1), pages 27-50, June.
- Ça?lar Özden & Maurice Schiff, 2006. "International Migration, Remittances, and the Brain Drain," World Bank Publications, The World Bank, number 6929, October.
- Rashida Haq & Mohammad Ali Bhatti, 2001. "Estimating Poverty in Pakistan The Non-food Consumption Share Approach," PIDE-Working Papers 2001:183, Pakistan Institute of Development Economics.
- Rizwana Siddiqui & A. R. Kemal, 2006.
"Remittances, Trade Liberalisation, and Poverty in Pakistan: The Role of Excluded Variables in Poverty Change Analysis,"
The Pakistan Development Review,
Pakistan Institute of Development Economics, vol. 45(3), pages 383-415.
- Siddiqui, Rizwana & Kemal, A.R., 2002. "Remittances, trade liberalisation, and poverty in Pakistan: The role of excluded variables in poverty change analysis," MPRA Paper 4228, University Library of Munich, Germany, revised Oct 2006.
- Rizwana Siddiqui & A. R. Kemal, 2006. "Remittances, Trade Liberalisation, and Poverty in Pakistan: The Role of Excluded Variables in Poverty Change Analysis," PIDE-Working Papers 2006:1, Pakistan Institute of Development Economics.
- Rizwana Siddiqui & A. R. Kemal, 2006. "Remittances, Trade Liberalisation, and Poverty in Pakistan : The Role of Excluded Variables in Poverty Change Analysis," Development Economics Working Papers 22224, East Asian Bureau of Economic Research.
- 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.
- Jean-Pierre Lachaud, 1999.
"Envois de fonds, inégalité et pauvreté au Burkina Faso,"
Revue Tiers Monde,
Programme National Persée, vol. 40(160), pages 793-827.
- Jean-Pierre Lachaud, 1999. "Envoi de fonds, inégalité et pauvreté au Burkina Faso," Documents de travail 40, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
- Lipton, Michael, 1980. "Migration from rural areas of poor countries: The impact on rural productivity and income distribution," World Development, Elsevier, vol. 8(1), pages 1-24, January.
- Samuel Munzele Maimbo & Dilip Ratha, 2005. "Remittances: Development Impact and Future Prospects," World Bank Publications, The World Bank, number 7339, October.
- Docquier,Frederic & Marfouk,Abdeslam, 2004. "Measuring the international mobility of skilled workers (1990-2000) : release 1.0," Policy Research Working Paper Series 3381, The World Bank.
- Alderman, Harold, 1996. "Saving and economic shocks in rural Pakistan," Journal of Development Economics, Elsevier, vol. 51(2), pages 343-365, December.
When requesting a correction, please mention this item's handle: RePEc:ris:adbewp:0194. 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: (Maria Susan M. Torres)
If references are entirely missing, you can add them using this form.