The Impact of Migration on the Sending Country: Evidence from the Philippines
Marjorie Pajaron- Asia Health Policy Postdoctoral Fellow in Developing Asia at Asia Health Policy Program, Stanford University
RSVP required by 5PM on May 8
More than 215 million people—approximately 3% of the world’s population—now live outside their country of birth (United Nations, 2009). Migration of individuals across international borders has socio-economic consequences both to the receiving and sending countries. One of the most important economic impacts of international migration is the amount of remittances sent home by migrants. World Bank (2011) estimated that developing countries received about $372 billion of remittances. Remittances serve as the second largest source of foreign reserves, next to exports of goods and services, for these countries. In addition, remittances benefit the poor households whose average income falls below the amount necessary to meet their most basic and non-food needs for the year. This study focuses on the roles of international migration and remittances in the Philippines, which was ranked fourth in total international remittances received in 2009, after India, China, and Mexico (World Bank, 2012). The Philippine government refers to the temporary international workers or Overseas Filipino Workers (OFWs) as bagong bayani or new heroes. This epithet stems from the important roles that these migrant workers play: they often serve as the primary income providers for their families left in the Philippines, and their transfers are a source of foreign reserves for the Philippine economy. The colloquium presents evidence on three related research questions. The first is whether agricultural households in rural Philippines use remittances from OFWs, along with loans, and assets to mitigate the effect of negative shocks to their income. In particular, speaker Marjorie Pajaron will ask the question whether farmers depend on their network of family and friends when they encounter a natural disaster, like excessive rainfall or typhoon. The second is how migration affects the bargaining power within the household. Finally, she will discuss the remittance behavior of different types of migrants from the Philippines.