International migration, human capital, and entrepreneurship
Subtitle: evidence from Philippine migrants' exchange rate shocks
By: Dean Yang.
Contributors: World Bank.
Series: Policy research working paper ;; 3578; Policy research working papers (Online) ;; 3578.
Publisher: World Bank
Published: 2005
Place of publication: [Washington, D.C
Language: eng
Format: Electronic resource
Subjects: Emigrant remittances -- Philippines.; Households -- Economic aspects -- Philippines.; Foreign exchange rates -- Philippines.; Human capital -- Philippines.; Financial crises -- Asia.
Description: "Millions of households in developing countries receive financial support from family members working overseas.  How do the economic prospects of overseas migrants affect origin-household investments-in particular, in child human capital and household enterprises? Yang examines Philippine households' responses to overseas members' economic shocks.  Overseas Filipinos work in dozens of foreign countries which experienced sudden (and heterogeneous) changes in exchange rates due to the 1997 Asian financial crisis.  Appreciation of a migrant's currency against the Philippine peso leads to increases in household remittances received from overseas.  The estimated elasticity of Philippine peso remittances with respect to the Philippine/foreign exchange rate is 0.60.  In addition, these positive income shocks lead to enhanced human capital accumulation and entrepreneurship in origin households.  Favorable migrant shocks lead to greater child schooling, reduced child labor, and increased educational expenditure in origin households.  More favorable exchange rate shocks also raise hours worked in self-employment and lead to greater entry into relatively capital-intensive enterprises by migrants' origin households. "--World Bank web site.
Notes: Includes bibliographical references.
Title from PDF file as viewed on 5/18/2005.
Also available in print.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.