Labor Supply Response to International Migration and Remittances in the Republic

Evans Jadotte ()
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Evans Jadotte: Departament d'Economia Aplicada, Universitat Autonoma de Barcelona

Working Papers from Department of Applied Economics at Universitat Autonoma of Barcelona

Abstract: The Republic of Haiti is the prime international remittances recipient country in the Latin American and Caribbean (LAC) region relative to its gross domestic product (GDP). The downside of this observation may be that this country is also the first exporter of skilled workers in the world by population size. The present research uses a zero-altered negative binomial (with logit inflation) to model households’ international migration decision process, and endogenous regressors’ Amemiya Generalized Least Squares method (instrumental variable Tobit, IV-Tobit) to account for selectivity and endogeneity issues in assessing the impact of remittances on labor market outcomes. Results are in line with what has been found so far in this literature in terms of a decline of labor supply in the presence of remittances. However, the impact of international remittances does not seem to be important in determining recipient households’ labor participation behavior, particularly for women.

Keywords: Republic of Haiti; international migration; remittances; labor supply (search for similar items in EconPapers)
JEL-codes: C39 F22 F24 J22 (search for similar items in EconPapers)
Pages: 31 pages
Date: 2008-09
New Economics Papers: this item is included in nep-dev, nep-lab and nep-mig
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:uab:wprdea:wpdea0808

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