Migration, Remittances, Poverty, and Human Capital: Conceptual and Empirical Challenges

16 Pages Posted: 20 Apr 2016

See all articles by David J. McKenzie

David J. McKenzie

World Bank - Development Research Group (DECRG); IZA Institute of Labor Economics

Marcin J. Sasin

World Bank - Europe and Central Asia Region

Date Written: July 1, 2007

Abstract

This paper reviews common challenges faced by researchers interested in measuring the impact of migration and remittances on income, poverty, inequality, and human capital (or, in general,welfare) as well as difficulties confronting development practitioners in converting this research into policy advice. On the analytical side, the paper discusses the proper formulation of a research question, the choice of the analytical tools, as well as the interpretation of the results in the presence of pervasive endogeneity in all decisions surrounding migration. Particular attention is given to the use of instrumental variables in migration research. On the policy side, the paper argues that the private nature of migration and remittances implies a need to carefully spell out the rationale for interventions. It also notices the lack of good migration data and proper evaluations of migration-related government policies. The paper focuses mainly on microeconomic evidence about international migration, but much of the discussion extends to other settings as well.

Keywords: Population Policies, Health Monitoring & Evaluation, Banks & Banking Reform, Anthropology, Voluntary and Involuntary Resettlement

Suggested Citation

McKenzie, David John and Sasin, Marcin J., Migration, Remittances, Poverty, and Human Capital: Conceptual and Empirical Challenges (July 1, 2007). World Bank Policy Research Working Paper No. 4272. Available at SSRN: https://ssrn.com/abstract=999482

David John McKenzie (Contact Author)

World Bank - Development Research Group (DECRG) ( email )

1818 H. Street, N.W.
MSN3-311
Washington, DC 20433
United States

IZA Institute of Labor Economics ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Marcin J. Sasin

World Bank - Europe and Central Asia Region ( email )

1818 H Street
Washington, DC 20433
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
1,264
Abstract Views
3,505
rank
15,057
PlumX Metrics