Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas
The impacts of international emigration and remittances on incomes and poverty in sending areas are increasingly studied with household survey data. But comparing households with and without emigrants is complicated by a triple-selectivity problem:...
| Main Authors: | , , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English |
| Published: |
2012
|
| Subjects: | |
| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100413101850 http://hdl.handle.net/10986/3755 |
| id |
okr-10986-3755 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-37552021-04-23T14:02:12Z Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas Gibson, John McKenzie, David Stillman, Steven AGRICULTURAL PRODUCTION AMOUNT OF REMITTANCES BASIC NEEDS BRAIN DRAIN BULLETIN CAPITA INCOME CHANGE IN POVERTY CITIZEN CITIZENS CITIZENSHIP COMMUNITY LEVEL CONSEQUENCES OF MIGRATION CONSUMPTION EXPENDITURES CULTURAL CHANGE DEPENDENT CHILDREN DESTINATION COUNTRY DEVELOPMENT ECONOMICS DEVELOPMENT RESEARCH GROUP DIET DOMESTIC INCOME DROPOUT ECONOMIC DEVELOPMENT EFFECT OF REMITTANCES EMIGRATION EXCHANGE RATE EXCHANGE RATES FAMILIES FAMILY MEMBERS FAMILY REUNIFICATION FAMILY REUNIFICATION POLICIES FEMALE HOME COUNTRY HOUSEHOLD ASSETS HOUSEHOLD COMPOSITION HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SIZE HOUSEHOLD SURVEY HOUSEHOLD SURVEY DATA HOUSEHOLD SURVEYS HOUSEHOLDS HUMAN CAPITAL IMMIGRANT IMMIGRATION IMPACT OF MIGRATION IMPACT OF REMITTANCES INCOMES INCREASE IN REMITTANCES INDIVIDUAL WELFARE INTERNATIONAL MIGRATION LABOR FORCE LABOUR FORCE LABOUR MOBILITY LABOUR SUPPLY MANDATES MIGRANT MIGRANTS MIGRATION MIGRATION DECISION MIGRATION POLICIES MIGRATION POLICY NUMBER OF ADULTS NUMBER OF CHILDREN OLDER ADULTS PENSIONS PERMANENT RESIDENCE POLICY RESEARCH POLICY RESEARCH WORKING PAPER POVERTY GAP POVERTY LINE POVERTY LINES POVERTY MEASURES POVERTY RATE POVERTY REDUCTION PROGRESS PUBLIC POLICY REMITTANCE REMITTANCE INFLOWS REMITTANCES REMITTANCES FROM MIGRANTS RENTALS RETURN MIGRANTS RETURN MIGRATION SEND REMITTANCES SETTLEMENT SPOUSE STANDARD ERROR STANDARD ERRORS TREATY VILLAGES The impacts of international emigration and remittances on incomes and poverty in sending areas are increasingly studied with household survey data. But comparing households with and without emigrants is complicated by a triple-selectivity problem: first, households self-select into emigration; second, in some emigrant households everyone moves while others leave members behind; and third, some emigrants choose to return to the origin country. Allowing for duration-dependent heterogeneity introduces a fourth form of selectivity -- one must now worry not just about whether households migrate, but also when they do so. This paper clearly sets out these selectivity issues and their implications for existing migration studies, and then addresses them by using survey data designed specifically to take advantage of a randomized lottery that determines which applicants to the over-subscribed Samoan Quota may immigrate to New Zealand. The analysis compares incomes and poverty rates among left behind members in households in Samoa that sent Samoan Quota emigrants with those for members of similar households that were unsuccessful in the lottery. Policy rules control who can accompany the principal migrant, providing an instrument to address the second selectivity problem, while differences among migrants in which year their ballot was selected allow for estimation of duration effects. The authors find that migration reduced poverty among former household members, but they also find suggestive evidence that this effect may be short-lived as both remittances and agricultural income are negatively related to the duration that the migrant has been abroad. 2012-03-19T18:39:14Z 2012-03-19T18:39:14Z 2010-04-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100413101850 http://hdl.handle.net/10986/3755 English Policy Research working paper ; no. WPS 5268 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper The World Region The World Region |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
AGRICULTURAL PRODUCTION AMOUNT OF REMITTANCES BASIC NEEDS BRAIN DRAIN BULLETIN CAPITA INCOME CHANGE IN POVERTY CITIZEN CITIZENS CITIZENSHIP COMMUNITY LEVEL CONSEQUENCES OF MIGRATION CONSUMPTION EXPENDITURES CULTURAL CHANGE DEPENDENT CHILDREN DESTINATION COUNTRY DEVELOPMENT ECONOMICS DEVELOPMENT RESEARCH GROUP DIET DOMESTIC INCOME DROPOUT ECONOMIC DEVELOPMENT EFFECT OF REMITTANCES EMIGRATION EXCHANGE RATE EXCHANGE RATES FAMILIES FAMILY MEMBERS FAMILY REUNIFICATION FAMILY REUNIFICATION POLICIES FEMALE HOME COUNTRY HOUSEHOLD ASSETS HOUSEHOLD COMPOSITION HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SIZE HOUSEHOLD SURVEY HOUSEHOLD SURVEY DATA HOUSEHOLD SURVEYS HOUSEHOLDS HUMAN CAPITAL IMMIGRANT IMMIGRATION IMPACT OF MIGRATION IMPACT OF REMITTANCES INCOMES INCREASE IN REMITTANCES INDIVIDUAL WELFARE INTERNATIONAL MIGRATION LABOR FORCE LABOUR FORCE LABOUR MOBILITY LABOUR SUPPLY MANDATES MIGRANT MIGRANTS MIGRATION MIGRATION DECISION MIGRATION POLICIES MIGRATION POLICY NUMBER OF ADULTS NUMBER OF CHILDREN OLDER ADULTS PENSIONS PERMANENT RESIDENCE POLICY RESEARCH POLICY RESEARCH WORKING PAPER POVERTY GAP POVERTY LINE POVERTY LINES POVERTY MEASURES POVERTY RATE POVERTY REDUCTION PROGRESS PUBLIC POLICY REMITTANCE REMITTANCE INFLOWS REMITTANCES REMITTANCES FROM MIGRANTS RENTALS RETURN MIGRANTS RETURN MIGRATION SEND REMITTANCES SETTLEMENT SPOUSE STANDARD ERROR STANDARD ERRORS TREATY VILLAGES |
| spellingShingle |
AGRICULTURAL PRODUCTION AMOUNT OF REMITTANCES BASIC NEEDS BRAIN DRAIN BULLETIN CAPITA INCOME CHANGE IN POVERTY CITIZEN CITIZENS CITIZENSHIP COMMUNITY LEVEL CONSEQUENCES OF MIGRATION CONSUMPTION EXPENDITURES CULTURAL CHANGE DEPENDENT CHILDREN DESTINATION COUNTRY DEVELOPMENT ECONOMICS DEVELOPMENT RESEARCH GROUP DIET DOMESTIC INCOME DROPOUT ECONOMIC DEVELOPMENT EFFECT OF REMITTANCES EMIGRATION EXCHANGE RATE EXCHANGE RATES FAMILIES FAMILY MEMBERS FAMILY REUNIFICATION FAMILY REUNIFICATION POLICIES FEMALE HOME COUNTRY HOUSEHOLD ASSETS HOUSEHOLD COMPOSITION HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SIZE HOUSEHOLD SURVEY HOUSEHOLD SURVEY DATA HOUSEHOLD SURVEYS HOUSEHOLDS HUMAN CAPITAL IMMIGRANT IMMIGRATION IMPACT OF MIGRATION IMPACT OF REMITTANCES INCOMES INCREASE IN REMITTANCES INDIVIDUAL WELFARE INTERNATIONAL MIGRATION LABOR FORCE LABOUR FORCE LABOUR MOBILITY LABOUR SUPPLY MANDATES MIGRANT MIGRANTS MIGRATION MIGRATION DECISION MIGRATION POLICIES MIGRATION POLICY NUMBER OF ADULTS NUMBER OF CHILDREN OLDER ADULTS PENSIONS PERMANENT RESIDENCE POLICY RESEARCH POLICY RESEARCH WORKING PAPER POVERTY GAP POVERTY LINE POVERTY LINES POVERTY MEASURES POVERTY RATE POVERTY REDUCTION PROGRESS PUBLIC POLICY REMITTANCE REMITTANCE INFLOWS REMITTANCES REMITTANCES FROM MIGRANTS RENTALS RETURN MIGRANTS RETURN MIGRATION SEND REMITTANCES SETTLEMENT SPOUSE STANDARD ERROR STANDARD ERRORS TREATY VILLAGES Gibson, John McKenzie, David Stillman, Steven Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| geographic_facet |
The World Region The World Region |
| relation |
Policy Research working paper ; no. WPS 5268 |
| description |
The impacts of international emigration
and remittances on incomes and poverty in sending areas are
increasingly studied with household survey data. But
comparing households with and without emigrants is
complicated by a triple-selectivity problem: first,
households self-select into emigration; second, in some
emigrant households everyone moves while others leave
members behind; and third, some emigrants choose to return
to the origin country. Allowing for duration-dependent
heterogeneity introduces a fourth form of selectivity -- one
must now worry not just about whether households migrate,
but also when they do so. This paper clearly sets out these
selectivity issues and their implications for existing
migration studies, and then addresses them by using survey
data designed specifically to take advantage of a randomized
lottery that determines which applicants to the
over-subscribed Samoan Quota may immigrate to New Zealand.
The analysis compares incomes and poverty rates among left
behind members in households in Samoa that sent Samoan Quota
emigrants with those for members of similar households that
were unsuccessful in the lottery. Policy rules control who
can accompany the principal migrant, providing an instrument
to address the second selectivity problem, while differences
among migrants in which year their ballot was selected allow
for estimation of duration effects. The authors find that
migration reduced poverty among former household members,
but they also find suggestive evidence that this effect may
be short-lived as both remittances and agricultural income
are negatively related to the duration that the migrant has
been abroad. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Gibson, John McKenzie, David Stillman, Steven |
| author_facet |
Gibson, John McKenzie, David Stillman, Steven |
| author_sort |
Gibson, John |
| title |
Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| title_short |
Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| title_full |
Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| title_fullStr |
Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| title_full_unstemmed |
Accounting for Selectivity and Duration-Dependent Heterogeneity When Estimating the Impact of Emigration on Incomes and Poverty in Sending Areas |
| title_sort |
accounting for selectivity and duration-dependent heterogeneity when estimating the impact of emigration on incomes and poverty in sending areas |
| publishDate |
2012 |
| url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100413101850 http://hdl.handle.net/10986/3755 |
| _version_ |
1764388159687229440 |