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Private Inter-household Transfers in Vietnam in the Early and Late 1990s

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Author Info
Donald Cox () (Boston College)

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Abstract

This chapter uses data from the 1992/93 and 1997/98 Vietnam Living Standards Surveys (VLSS) to describe patterns of money transfers between households. Rapid economic growth during the 1990's did little to diminish the importance of private transfers in Vietnam. Private transfers are large and widespread in both surveys,and they are much larger than public transfers are. Private transfers appear to function like means-tested public transfers, flowing from better off to worse off households and providing old-age support in retirement. Panel evidence suggests some hysteresis in private transfer patterns, but many households also changed from recipients to givers and vice versa between surveys. Changes in private transfers appear responsive to changes in household pre- transfer income, demographic changes and life-course events. Transfer inflows rise upon retirement and widowhood, for example, and are positively associated with increases in health expenditures. It also appears that private transfer inflows increased for households affected by Typhoon Linda, which devastated Vietnam's southernmost provinces in late 1997.

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Publisher Info
Paper provided by Boston College Department of Economics in its series Boston College Working Papers in Economics with number 524.

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Length: 43 pages
Date of creation: 02 Feb 2002
Date of revision:
Handle: RePEc:boc:bocoec:524

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Related research
Keywords: Private transfers; public transfers; income redistribution; altruism; risk sharing; social safety nets; economic transition; economic growth; Vietnam.;

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Find related papers by JEL classification:
O12 - Economic Development, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
O16 - Economic Development, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment
O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
D64 - Microeconomics - - Welfare Economics - - - Altruism
H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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