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The Determinants of Private Transfers in Rural Vietnam

Patrick Eozenou ()

No 4, Working Papers from Development and Policies Research Center (DEPOCEN), Vietnam

Abstract: We use the Vietnam Living Standard Survey conducted in 1993 and in 1998 to analyze the determinants of private transfers among rural farmers. Private transfers are widespread and important relative to pre-transfer income levels of recipients in both years. Conducting parametric and semiparametric analysis of single-index models for transfer status, we find that private transfers help smoothing income across the life cycle and across states of nature. Pre-transfer income is positively related to the net donor status and negatively associated with the net recipients status, especially for low levels of income. These results suggest that crowding-out of public redistributive policies targeted to the rural poor might be an issue to take into account in Vietnam.

Keywords: Private Transfers; Single-Index Model; Probit; Semiparametric Estimation; Vietnam. (search for similar items in EconPapers)
JEL-codes: D63 D64 I30 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2009
New Economics Papers: this item is included in nep-dev and nep-tra
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