Remittances and the Economic Crisis

Bartolini, Laura; Castagnone, Eleonora

Remittances and the Economic Crisis

Autores

Bartolini, Laura

Castagnone, Eleonora

Editor

World Bank, Washington, DC

Descripción

Monetary remittances represent the most visible transnational activity of migrants and can be considered as a function of migrant’s ability of producing savings from income and of remitting (supply side), and of the type of claims of family members, either left in the country of origin or residing abroad with the migrant (demand side). Hence, migrant’s remitting capacity is directly linked to the level of economic integration at destination. However, what happens to remittances when the labor market becomes uncertain and the earning potential decreases? Based on a recent survey, this paper explores the effect of the economic crisis on income trends and on the flow of monetary remittances sent to the families left home among three surveyed groups in Turin, Moroccans, Peruvians and Romanians. Results show a widespread worsening of the average economic conditions since the outbreak of the crisis in 2008. The protracted economic instability seems to have effects on migrants’ ability to keep remittance flows constant over time, with differentiated outcomes according to the national groups. While Moroccans show a higher propensity in receiving remittances, Peruvians are those who resist more to a remittance drop over the last five years. Beyond economic determinants, observed patterns in remittance trends can also be explained by migrant household characteristics in Italy and abroad and to unobserved variables (distance) related to the country of origin.

Palabras clave

MIGRANT GROUPS, EMPLOYMENT, IMMIGRANT, FINANCIAL SERVICES, CAPITA INCOME, WORKFORCE, FORMAL EDUCATION, ACCOUNTING, MIGRANT FAMILY MEMBERS, INFORMAL SECTOR, INCOME, REMITTANCE INFLOWS, FAMILY STRUCTURE, REMITTANCE, LABOR FORCE, ECONOMIC NEEDS, WELFARE SYSTEM, VARIATION IN REMITTANCES, IMMIGRANTS, HEALTH CARE, WELFARE, LEGAL STATUS, FEMALE EMPLOYMENT, EFFECTS, FAMILY MEMBERS, AMOUNT OF REMITTANCES, VARIABLES, HEALTH WORKERS, SEND REMITTANCES, DROP IN REMITTANCES, REMITTANCE FLOWS, ANNUAL REMITTANCES, ECONOMIC STABILITY, SEND MONEY, REMITTANCE OUTFLOWS, TRENDS, NATIVE WORKERS, DEVELOPMENT, LABOR MARKET, CONTRACTUAL ARRANGEMENTS, FEMALE MIGRANTS, PER CAPITA INCOME, TRAINING, INTERNATIONAL MIGRANT REMITTANCES, FAMILY CONSUMPTION, INCOME INEQUALITY, FAMILY REUNIFICATION, INTERNATIONAL REMITTANCES, SECONDARY SCHOOL, MIGRATION, TRANSFERS, NATURAL DISASTERS, CRITERIA, MARKETS, HIGH SCHOOL DIPLOMA, DISASTERS, MARRIAGE, INCOME LEVELS, LABOR, MIGRANTS, MIGRANT WORKFORCE, FINANCE, MIGRA, MIGRANT, VOCATIONAL TRAINING, INCOME SECURITY, MALE MIGRANTS, WAGES, WHO, HOME COUNTRY, GENDER DIFFERENCES, LAYOFF, MIGRANT REMITTANCES, FINANCIAL CRISIS, WOMAN, GENDER, DIVISION OF LABOR, ECONOMIC SECTORS, LABOUR MARKET, MONETARY REMITTANCES, INTERNATIONAL MIGRANT, SECONDARY SCHOOL DIPLOMA, INCOMES, EMPLOYMENT GROWTH, MIGRANT WORKERS, ECONOMIC SITUATION, ECONOMICS, SOCIAL WELFARE, CITIZENS, MIGRANT FAMILY, SEX, TRADE, RESIDENCE STATUS, ECONOMIC INTEGRATION, LEVEL OF EDUCATION, CITIZENSHIP, SECURITY, MIGRATORY PROCESS, RISK, MONETARY FLOWS, CONTRACTING, CRISES, IMMIGRATION, BARGAINING, SUPPLY, FOREIGN WORKERS, ECONOMIC TRENDS, POPULATION, MARITAL STATUS, COUNTRIES OF DESTINATION, MIGRANT WOMEN, FOREIGN LABOR, WOMEN, COUNTRY OF ORIGIN, LABOUR, REMITTANCES, OUTCOMES, OLDER RELATIVES, MIGRATION–DEVELOPMENT NEXUS, MONEY TRANSFERS, IMMIGRANT WORKERS, ECONOMIC CONDITIONS, NATIONAL GROUPS, INEQUALITY