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The Growing Role of International Remittances in the Vietnamese Economy: Evidence from the Vietnam (Household) Living Standard Surveys

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  • Pfau, Wade Donald
  • Giang, Long Thanh

Abstract

Our findings include that overseas remittances come from throughout the world, but are dominated by the United States as a main source. Also, over time, the destinations of foreign remittances are becoming more diverse as they move away from Ho Chi Minh city and other urban areas, in particular, to other regions and to rural areas. Nonetheless, the percentage of households receiving overseas remittances as held steady at around 5 to 7 percent of the population. Also, widows, the elderly, female headed households, and households where the head does not work disproportionately receive foreign remittances. This helps to ensure that foreign remittances actually improve equality in Vietnam with regard to per-capita household expenditures, though the improvements are quite small. Nonetheless, the improvements to income equality caused by overseas remittances are becoming more substantial over time. We also determine that overseas remittances are used primarily for consumption, and they are mainly provided by close family members including children, spouses, and siblings.

Suggested Citation

  • Pfau, Wade Donald & Giang, Long Thanh, 2010. "The Growing Role of International Remittances in the Vietnamese Economy: Evidence from the Vietnam (Household) Living Standard Surveys," MPRA Paper 24945, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:24945
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    File URL: https://mpra.ub.uni-muenchen.de/24945/1/MPRA_paper_24945.pdf
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    References listed on IDEAS

    as
    1. Giang, Thanh Long & Pfau, Wade Donald, 2007. "The Elderly Population in Vietnam during Economic Transformation: An Overview," MPRA Paper 24948, University Library of Munich, Germany.
    2. Margaret E. Grosh & Paul Glewwe, 1998. "Data Watch: The World Bank's Living Standards Measurement Study Household Surveys," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 187-196, Winter.
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    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Kiều hối
      by kastinsky in Dự đoán kinh tế Việt Nam on 2012-03-07 18:01:15

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    More about this item

    Keywords

    Vietnam; remittances; household surveys;
    All these keywords.

    JEL classification:

    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances

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