- Elgar original reference
Edited by Carlos Vargas-Silva
Chapter 20: The Importance of Accounting for Variability in Remittance Income
20 The importance of accounting for variability in remittance income Catalina Amuedo-Dorantes and Susan Pozo1 A great deal of research has examined remittances to developing economies detailing the size and influence of these money flows. Are the poorest or the better-off households the primary recipients and are the flows sufficient to lift households out of poverty (for example, Lucas, 2007; Terry and Wilson, 2005)? Is labor force participation influenced and changed on account of remittance transfers (for example, Amuedo-Dorantes and Pozo, 2006; Cox-Edwards and Rodríguez-Oreggia, 2009; Funkhouser, 1992)? Is investment in schooling increased or decreased with the receipt of remittances (for example, Amuedo-Dorantes and Pozo, 2010; Borraz, 2005; Cox Edwards and Ureta, 2003; Kandel and Kao, 2001)? While much of this work is valuable and has the potential to increase our understanding of remittance flows and their implications, we are interested in yet another aspect of these flows that has not been researched to any great degree, as is the case with the ‘regularity’ and ‘predictability’ of remittance flows and how they can influence the economic behavior of recipient households. Before embarking on an extensive study of this nature, one might question the need to study how remittances behave and influence economic behavior. Aren’t remittances simply a transfer payment similar in nature to unemployment insurance payments, to welfare payments, and to old age security transfers? Why not simply resort to the vast literature on transfer payments to answer questions about the likely impact of remittances on household behavior? Our...
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.