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The Effect of Foreign Remittances on Schooling: Evidence from Pakistan

Author

Listed:
  • Muhammad Nasir

    (Pakistan Institute of Development Economics, Islamabad.)

  • Muhammad Salman Tariq

    (Pakistan Institute of Development Economics, Islamabad.)

  • Faiz-ur-Rehman

    (Quaid-i-Azam University, Islamabad.)

Abstract

The underlying study intends to show the impact of foreign remittances on the educational performance of children in the households receiving these remittances. Much of the literature in this area covers the effects of remittances on poverty, consumption, and investment behaviour of the receiving households. The literature on the impact of remittances on educational performance, however, is rare, especially in Pakistan. To investigate the impact of remittances on educational performance, primary data at the household level is collected from four main cities of the Khyber Pakhtunkhwa Province, Pakistan. The OLS results illustrate that, without considering parental education, remittances have significant adverse effects on educational performance. However, the effect becomes insignificant once parental education is included, as a control variable, in the regression. The results also reveal that the low level of parental education, current income, assets, family type, and family size play an important role in the educational performance of children.

Suggested Citation

  • Muhammad Nasir & Muhammad Salman Tariq & Faiz-ur-Rehman, 2011. "The Effect of Foreign Remittances on Schooling: Evidence from Pakistan," PIDE-Working Papers 2011:66, Pakistan Institute of Development Economics.
    • Handle: RePEc:pid:wpaper:2011:66
    as

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    File URL: https://www.pide.org.pk/pdf/Working%20Paper/WorkingPaper-66.pdf
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    References listed on IDEAS

    as
    1. Alejandra Cox Edwards & Manuelita Ureta, 2003. "International Migration, Remittances, and Schooling: Evidence from El Salvador," NBER Working Papers 9766, National Bureau of Economic Research, Inc.
    2. Edwards, Alejandra Cox & Ureta, Manuelita, 2003. "International migration, remittances, and schooling: evidence from El Salvador," Journal of Development Economics, Elsevier, vol. 72(2), pages 429-461, December.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Farrukh, Muhammad Umar & Bashir, Muhammad Khalid & Rola-Rubzen, Maria Fay & Ahmad, Ashfaq, 2022. "Dynamic effects of urbanization, governance, and worker's remittance on multidimensional food security: An application of a broad-spectrum approach," Socio-Economic Planning Sciences, Elsevier, vol. 84(C).
    2. Tiza, Fahana Tahi & Farid, Kazi Shek & Mozumdar, Lavlu, 2020. "Impact Of Remittances On Educational Attainment Of The Migrant Households: A Micro Level Study," Bangladesh Journal of Agricultural Economics, Bangladesh Agricultural University, vol. 40(1&2), February.
    3. Sami Ullah Khan & Muhammad Jehangir Khan, 2016. "The Impact of Remittances on Child Education in Pakistan," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 21(1), pages 69-98, Jan-June.
    4. Muhammad Azam & Syed Ali Raza, 2016. "Do Workers’ Remittances Boost Human Capital Development?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 55(2), pages 123-149.

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    More about this item

    Keywords

    Remittances ; Education; Parental Absence;
    All these keywords.

    JEL classification:

    • A20 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - General
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid

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