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Journal of Demography

Abstract

Remittances have become a main resource for development in low- and middle-income countries around the world. With impressive growth in remittances over the decades comes interest in their importance to development. Using data from the 2009 Cambodian Socio-Economic Survey with a sample of 2,767 children under 5 years of age, this study investigates the impact of migration and of remittances on children's quality of health, and tests whether or not the so-called permanent income hypothesis holds for remittances relative to other income. Also employed is two-stage least squares analysis to account for potential endogeneity problems. In short, it was found that the net effect of migration and remittances is positive and significantly improves children's health outcome. The effect is also larger for girls than boys if both short- and long-term growth are taken into account. In addition, the finding maintains support for the permanent income hypothesis, and it is concluded that remittances are not fungible because they are used disproportionately compared with other types of household income to invest in children's health stock.

DOI

10.56808/2730-3934.1310

First Page

30

Last Page

'64

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