The check is in the mail: Household characteristics and migrant remittance from the U.S. to Mexico

Jonathan Yoder (), Adam McCoy and Mudziviri Nziramasanga ()
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Mudziviri Nziramasanga: School of Economic Sciences, Washington State University

No 2008-1, Working Papers from School of Economic Sciences, Washington State University

Abstract: We develop a household model of migrant remittance that accounts for the effects of subsistence requirements and transaction costs on remittances. The model supports testable hypotheses about the effect on remittances of migrant income, family composition and distribution, transaction costs, income and residence security, and other household characteristics on remittance levels and frequency. We test these hypotheses using survey data on individual Mexican migrants in the United States. The results are broadly consistent with our hypotheses. For example, our subsistence requirement implies that below a threshold, the income effect on remittance is zero. This is borne out in our results.

Keywords: remittances; migrant income; transaction costs (search for similar items in EconPapers)
JEL-codes: C24 J1 J61 (search for similar items in EconPapers)
Pages: 41 pages
Date: 2008
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Related works:
Journal Article: The check in the mail: household characteristics and migrant remittance from the US to Mexico (2013)
Working Paper: The check is in the mail: Household characteristics and migrant remittance from the U.S. to Mexico (2008)
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