I Trust, Therefore I Remit? An Examination of the Size and Motivation of Remittances

Bibliographic Data

ID3654841
AuthorsTheodore P Lianos (0000-0003-0578-0379), Anastasia Pseiridis (0000-0003-4878-7861)
Year2014
Volume40
Issue4
Pages528-543
Publication date2014-04-03
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueNew Community (JOURNAL)
Journal identifiersISSN: 0047-9586 • E-ISSN: 1469-9451
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/1369183x.2013.857593
OpenAlexW1990824925
LanguageEN
Citations received5
References cited20

This study examines the size and motivation for remittances of returned migrants, based on the survey data taken in six countries (Bosnia-Herzegovina, Bulgaria, Georgia, Kyrgyz Republic, Romania and Tajikistan). In addition to the usual factors that are used in economic analysis to determine the size of remittances (i.e. income, marital status, family size, etc.) we use two additional ones, namely the use of remittances (material or human capital investment vs. consumption) and the identity of the decision-maker (migrant, spouse, parents, etc.). We find that remittances are higher when the decision-maker is the spouse or the migrant him/herself. Furthermore, remittances are higher when they are used for the education of children and adults; whereas they are lower when they are used for food and clothing or medical expenses. Given that the countries of origin cannot easily affect intra-family decisions, e.g. whether the spouse or children are left behind or who decides on how the money is spent, it seems difficult to draw concrete policy prescriptions. However, the findings about education expenses could lend some support for the provision of tax breaks or other benefits for migrants whose money is used for education purposes in the country of origin.Keywords: RemittancesRemittance UseMigrationTrustAltruismHousehold Decisions

Demographic economics · Economics · Sociology · Migration and Labor Dynamics · Migration, Ethnicity, and Economy · Poverty, Education, and Child Welfare · Psychology · Social Psychology

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