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Remittances and Labor Supply in Post-Conflict Tajikistan

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  • Patricia Justino
  • Olga Shemyakina

Abstract

This paper analyzes the impact of remittances on the labor supply of men and women in post-conflict Tajikistan. We find that on average men and women from remittance-receiving households are less likely to participate in the labor market and supply fewer hours when they do. The negative effect of remittances on labor supply is smaller for women, which is an intriguing result as other studies on remittances and labor supply (primarily focused on Latin America) have shown that female labor supply is more responsive to remittances. The results are robust to using different measures of remittances and inclusion of variables measuring migration of household members. We estimate a joint effect of remittances and an individual’s residence in a conflict-affected area during the Tajik civil war. Remittances had a larger impact on the labor supply of men living in conflict-affected areas compared to men in less conflict-affected areas. The impact of remittances on the labor supply of women does not differ by their residence in both the more or less conflict affected area.

Suggested Citation

  • Patricia Justino & Olga Shemyakina, 2010. "Remittances and Labor Supply in Post-Conflict Tajikistan," Research Working Papers 35, MICROCON - A Micro Level Analysis of Violent Conflict.
    • Handle: RePEc:mcn:rwpapr:35
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    File URL: http://www.microconflict.eu/publications/RWP35_PJ_OS.pdf
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    More about this item

    JEL classification:

    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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