 Impact of remittances on male and female labor force participation patterns in Africa: Quasi‐experimental evidence from GhanaEdward Asiedu and Nurokinan Chimbar Review of Development Economics, 2020, vol. 24, issue 3, 1009-1026 Abstract: In this paper, we examine how remittances, an outcome of labor mobility, affect labor market activities in Ghana using detailed household and individual‐level data. This is important, considering the extensive literature that has documented the remittance–poverty reduction nexus. First, we find a strong negative association between household remittance‐receiving status and individual labor supply decisions using instrumental variable estimation techniques. Second, we find the depressing effect of remittances on labor supply decisions to be much stronger in rural areas. Rural women who reside in remittance‐receiving households are less likely to be in the labor force compared with those who do not reside in such households. Remittances have very little impact on labor supply decisions in urban areas. Our findings support that remittances can exacerbate long‐term poverty reduction in rural areas through lower labor force participation, and as such rural‐based and gender‐based interventions may be needed to help redirect remittance income. Date: 2020 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:bla:rdevec:v:24:y:2020:i:3:p:1009-1026 Ordering information: This journal article can be ordered from Access Statistics for this article Review of Development Economics is currently edited by E. Kwan Choi More articles in Review of Development Economics from Wiley Blackwell |
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