Social Relations and Remittances: Evidence from Canadian Micro Data

Don DeVoretz and Florin Vadean

No 2501, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We theorise that remittances to persons outside the households represent transfers to maintain social relations with relatives and friends and charitable remittances are expenditures which foster group membership. We estimate transfer functions as part of a larger expenditure system and calculate Engel elasticities for remittances to persons and to charities. We conclude that expenditures to enhance social relations with relatives and friends are a normal good for recent Asian immigrants and a luxury good for all other immigrants and Canadians. This fact indicates strong cultural differences in the remittance behaviour of the population groups included.

Keywords: international migration; household behaviour; remittances (search for similar items in EconPapers)
JEL-codes: C31 D12 F22 F24 (search for similar items in EconPapers)
Pages: 36 pages
Date: 2006-12
New Economics Papers: this item is included in nep-soc
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Working Paper: Social relations and remittances: Evidence from Canadian micro data (2007)
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