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Migration, remittances, labour market and human capital in Senegal

Ameth Saloum Ndiaye, Oumoul Khayri Niang, Sessinou Dedehouanou and Ya Cor Ndione

Working Papers PMMA from PEP-PMMA

Abstract: This study investigates how migration and remittances affect labour market participation in Senegal. Further, it examines the effect of remittances on human capital development. The results reveal that migration and remittances reduce labour market participation of household members with migrants. More importantly, we find that the labour market participation depends negatively on the level of remittances, which supports the reservation wage theory. We also find that remittances increase expenditures on human capital development, as approximated by education and health spending. These findings hold true across specifications and econometric estimation procedures.

Keywords: migration; remittances; labour market participation; human capital; Senegal (search for similar items in EconPapers)
JEL-codes: F22 F24 J21 J24 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-mig
Date: 2016
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