Remittances, Household Expenditure and Investment in Guatemala
The author uses a large household data set from Guatemala to analyze how the receipt of internal remittances (from Guatemala) and international remittances (from the United States) affects the marginal spending behavior of households on various consumption and investment goods. Contrary to other stu...
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| Format: | Policy Research Working Paper |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2005/03/5640003/remittances-household-expenditure-investment-guatemala http://hdl.handle.net/10986/8862 |
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okr-10986-88622021-04-23T14:02:42Z Remittances, Household Expenditure and Investment in Guatemala Adams, Richard H. Jr. COMMUNITIES DEVELOPMENT ECONOMICS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC SHOCKS EMPLOYMENT EXPENDITURES FAMILIES HEALTH INSURANCE HOSPITALIZATION HOUSEHOLDS HOUSING HUMAN CAPITAL INCOME MIGRANTS MIGRATION PER CAPITA INCOME PHYSICAL CAPITAL POLICY RESEARCH REMITTANCES RESEARCH REPORT RURAL AREAS SCHOOL HEALTH URBAN AREAS WASTE WORKERS The author uses a large household data set from Guatemala to analyze how the receipt of internal remittances (from Guatemala) and international remittances (from the United States) affects the marginal spending behavior of households on various consumption and investment goods. Contrary to other studies, the author finds that households receiving remittances actually spend less at the margin on consumption-food and consumer goods and durables-than do households receiving no remittances. Instead of spending on consumption, households receiving remittances tend to spend more on investment goods, like education, health, and housing. The analysis shows that a large amount of remittance money goes into education. At the margin, households receiving internal and international remittances spend 45 and 58 percent more, respectively, on education, than do households with no remittances. These increased expenditures on education represent investment in human capital. Like other studies, the author finds that remittance-receiving households spend more at the margin on housing. These increased expenditures on housing represent a type of investment for the migrant, as well as a means for boosting local economic development by creating new income and employment opportunities for skilled and unskilled workers. 2012-06-22T20:19:34Z 2012-06-22T20:19:34Z 2005-03 http://documents.worldbank.org/curated/en/2005/03/5640003/remittances-household-expenditure-investment-guatemala http://hdl.handle.net/10986/8862 English Policy Research Working Paper; No. 3532 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Guatemala |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
COMMUNITIES DEVELOPMENT ECONOMICS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC SHOCKS EMPLOYMENT EXPENDITURES FAMILIES HEALTH INSURANCE HOSPITALIZATION HOUSEHOLDS HOUSING HUMAN CAPITAL INCOME MIGRANTS MIGRATION PER CAPITA INCOME PHYSICAL CAPITAL POLICY RESEARCH REMITTANCES RESEARCH REPORT RURAL AREAS SCHOOL HEALTH URBAN AREAS WASTE WORKERS |
| spellingShingle |
COMMUNITIES DEVELOPMENT ECONOMICS ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC SHOCKS EMPLOYMENT EXPENDITURES FAMILIES HEALTH INSURANCE HOSPITALIZATION HOUSEHOLDS HOUSING HUMAN CAPITAL INCOME MIGRANTS MIGRATION PER CAPITA INCOME PHYSICAL CAPITAL POLICY RESEARCH REMITTANCES RESEARCH REPORT RURAL AREAS SCHOOL HEALTH URBAN AREAS WASTE WORKERS Adams, Richard H. Jr. Remittances, Household Expenditure and Investment in Guatemala |
| geographic_facet |
Latin America & Caribbean Guatemala |
| relation |
Policy Research Working Paper; No. 3532 |
| description |
The author uses a large household data set from Guatemala to analyze how the receipt of internal remittances (from Guatemala) and international remittances (from the United States) affects the marginal spending behavior of households on various consumption and investment goods. Contrary to other studies, the author finds that households receiving remittances actually spend less at the margin on consumption-food and consumer goods and durables-than do households receiving no remittances. Instead of spending on consumption, households receiving remittances tend to spend more on investment goods, like education, health, and housing. The analysis shows that a large amount of remittance money goes into education. At the margin, households receiving internal and international remittances spend 45 and 58 percent more, respectively, on education, than do households with no remittances. These increased expenditures on education represent investment in human capital. Like other studies, the author finds that remittance-receiving households spend more at the margin on housing. These increased expenditures on housing represent a type of investment for the migrant, as well as a means for boosting local economic development by creating new income and employment opportunities for skilled and unskilled workers. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Adams, Richard H. Jr. |
| author_facet |
Adams, Richard H. Jr. |
| author_sort |
Adams, Richard H. Jr. |
| title |
Remittances, Household Expenditure and Investment in Guatemala |
| title_short |
Remittances, Household Expenditure and Investment in Guatemala |
| title_full |
Remittances, Household Expenditure and Investment in Guatemala |
| title_fullStr |
Remittances, Household Expenditure and Investment in Guatemala |
| title_full_unstemmed |
Remittances, Household Expenditure and Investment in Guatemala |
| title_sort |
remittances, household expenditure and investment in guatemala |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2005/03/5640003/remittances-household-expenditure-investment-guatemala http://hdl.handle.net/10986/8862 |
| _version_ |
1764407032178278400 |