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A Model of Remittance Determination Applied to Middle East and North Africa Countries

  • NICHOLAS GLYTSOS

    (CENTER OF PLANNING & ECONOMIC RESEARC, ATHENS, GREECE)

The objective is to construct and estimate a model of remittance determination which reflects individual behaviour of the migrant and his family, treating remittances as an endogenous variable in the migration system. Behind this model is found the idea of the relative bargaining power, inherent in the implicit contract theory, which determines priorities for present or future consumption of remittances. The model has two purposes: estimate the relative significance of behavioural and macroeconomic variables in remittance determination, and interpret, in a feedback manner, the results with respect to the theoretical postulates. All countries concerned are found to demonstrate unstable and volatile income expectations, with implications to remitting behaviour, and to present-future priorities.

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Paper provided by EconWPA in its series Labor and Demography with number 0505016.

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Length: 37 pages
Date of creation: 18 May 2005
Date of revision:
Handle: RePEc:wpa:wuwpla:0505016
Note: Type of Document - doc; pages: 37
Contact details of provider: Web page: http://128.118.178.162

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  1. Glytsos, Nicholas & Katseli, Louka Tarsitsa, 1986. "Theoretical and Empirical Determinants of International Labour Mobility: A Greek-German Perspective," CEPR Discussion Papers 148, C.E.P.R. Discussion Papers.
  2. Nicholas P. Glytsos, 1997. "Remitting Behaviour of "Temporary" and "Permanent" Migrants: The Case of Greeks in Germany and Australia," LABOUR, CEIS, vol. 11(3), pages 409-435, November.
  3. 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.
  4. Elbadawi, Ibrahim & de Rezende Rocha, Robert, 1992. "Determinants of expatriate workers'remittances in North Africa and Europe," Policy Research Working Paper Series 1038, The World Bank.
  5. Stark, Oded & Taylor, J Edward, 1991. "Migration Incentives, Migration Types: The Role of Relative Deprivation," Economic Journal, Royal Economic Society, vol. 101(408), pages 1163-78, September.
  6. Hoddinott, John, 1994. "A Model of Migration and Remittances Applied to Western Kenya," Oxford Economic Papers, Oxford University Press, vol. 46(3), pages 459-76, July.
  7. Stark, Oded & Lucas, Robert E B, 1988. "Migration, Remittances, and the Family," Economic Development and Cultural Change, University of Chicago Press, vol. 36(3), pages 465-81, April.
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