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Consumption behavior of migrant households in Vietnam: Remittances, duration of stay, and the household registration system

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  • Nguyen, Giang

Abstract

This paper examines the determinants of the consumption gap between migrant and urban households in Vietnam, paying particular attention to the role of the household registration (ho khau) system in shaping consumption of migrant households. Our findings indicate that migrant households exhibit significantly lower consumption levels than comparable urban households. The observed gap is mainly driven by differences in non-food consumption. We also find that the restrictions imposed by the ho khau system contribute significantly to the gap. Moreover, remittances of migrant households to family members in rural regions are responsible for a considerable part of the gap. Finally, we observe that the consumption gap declines with the duration of residence of migrant households in their destination cities.

Suggested Citation

  • Nguyen, Giang, 2018. "Consumption behavior of migrant households in Vietnam: Remittances, duration of stay, and the household registration system," Journal of Asian Economics, Elsevier, vol. 57(C), pages 1-12.
    • Handle: RePEc:eee:asieco:v:57:y:2018:i:c:p:1-12
    DOI: 10.1016/j.asieco.2018.06.001
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    Cited by:

    1. Le Wen & Krishna P. Paudel & Qinying He, 2022. "Temporary Migration and Savings Rates: Evidence from China," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(6), pages 2810-2849, December.
    2. Dong, Xiaoqi & Liang, Yinhe & Zhang, Jiawei, 2023. "Fertility responses to the relaxation of migration restrictions: Evidence from the Hukou reform in China," China Economic Review, Elsevier, vol. 81(C).
    3. Giang Nguyen, 2020. "Changes in the distribution of household consumption in Southeast Asia," Economic Change and Restructuring, Springer, vol. 53(1), pages 39-60, February.
    4. Chunshan Zhou & Ming Li & Guojun Zhang & Yuqu Wang & Song Liu, 2020. "Heterogeneity of Internal Migrant Household Consumption in Host Cities: A Comparison of Skilled Migrants and Labor Migrants in China," Sustainability, MDPI, vol. 12(18), pages 1-16, September.
    5. Bach Nguyen, 2022. "Internal migration and earnings: Do migrant entrepreneurs and migrant employees differ?," Papers in Regional Science, Wiley Blackwell, vol. 101(4), pages 901-944, August.

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    More about this item

    Keywords

    Rural urban migration; Consumption; Household registration system;
    All these keywords.

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth

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