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Shocks and rural development policies: Any implications for migrants to return?

Manh Hung Do, Trung Thanh Nguyen, Thanh-Tung Nguyen and Ulrike Grote

TVSEP Working Papers from Leibniz Universitaet Hannover, Institute of Development and Agricultural Economics, Project TVSEP

Abstract: This paper examines the factors affecting the decision of migrants to return home in rural areas and their length of stay in cities with a focus on shocks and rural development policies. We use the unique Thailand Vietnam Socio Economic Panel (TVSEP) data. Our results reveal that the decision to return is positively associated with demographic shocks and negatively associated with social shocks during the time migrants stay in the cities. Meanwhile, economic shocks positively influence migrants’ staying period in the cities. Besides, migrants from poor communes with poverty reduction projects are more unlikely to return. This implies that current rural development policies in Vietnam with a goal of poverty reduction might not be attractive enough for migrants to return.

Keywords: Two-step Heckman selection, Shocks; Rural-urban migration, Migrants’ behavior, Rural development (search for similar items in EconPapers)
JEL-codes: D13 J62 O13 Q12 (search for similar items in EconPapers)
Pages: 40 pages
Date: 2020-02
New Economics Papers: this item is included in nep-agr, nep-mig, nep-sea and nep-ure
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