Document Type

Article

Publication Date

10-2018

Embargo Period

5-26-2020

Publication Title

World Development

Abstract

Using data from the longitudinal panel surveys of 1996, 2004, and 2011, this paper examines the dynamics of foreign remittances and their impact on poverty in Nepal. The intent is to explore how foreign remittances have evolved and impacted poverty and economic well-being of households. Focusing on a consistent set of households across the three survey rounds in a balanced panel format helps examine the effect of foreign remittances with appropriate controls. Results from methodologically consistent, random-effects regressions that correct for potential attrition and heterogeneity bias support significant poverty-reducing and, more accurately, economic well-being-enhancing effects of foreign remittances especially when originating in countries other than India. This and other findings are valuable to the assessment of policies on utilizing foreign labor migration and remittances as a vehicle to reduce poverty in Nepal.

Volume

110

First Page

38

Last Page

50

DOI

https://doi.org/10.1016/j.worlddev.2018.05.019

ISSN

0305-750X

Comments

This is an Accepted Manuscript version of the article published in World Development. To view the version of record, see the publisher's website.

Rights

© 2018. This manuscript version is made available under the CC-BY-NC-ND 4.0 license http://creativecommons.org/licenses/by-nc-nd/4.0/

Available for download on Tuesday, May 26, 2020

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