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Gender Dynamics in Migration Remittances: Impact on Household Welfare in Burkina Faso

This study explores the impact of migration remittances on household welfare in Burkina Faso, focusing on gender dynamics. It investigates whether the gender of the sender and recipient moderates and mediates the effects of remittances. Using empirical evidence from Burkina Faso, the study analyzes World Bank Living Standard Measurement Survey data from 2014. The methodology includes microeconometric estimation techniques like Ordinary Least Squares and Propensity Score Matching to correct for potential endogeneity threats. The research hypothesis examines how remittances affect household welfare consumption based on the gender of the sender and recipient. The findings suggest that women-headed households receiving remittances are more likely to enhance their families' welfare outcomes. The study emphasizes the importance of considering gender dynamics in migration policies to maximize welfare enhancements of communities back home.

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Gender Dynamics in Migration Remittances: Impact on Household Welfare in Burkina Faso

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  1. Impact of migration remittances on household welfare: does gender matter? Evidence from Burkina Faso s By Soazic Elise WANG SONNE & Sabine KOWSKI United Nations University-MERIT 2016 IYAS Conference, Pretoria, South Africa

  2. CONTEXT AND MOTIVATION (1)

  3. CONTEXT AND MOTIVATION (3) --The amount of remittances has increased from 49.48 million U.S. dollars in 2005 to 105.74 million U.S. dollars in 2010 -- The top sending countries being Cote d’Ivoire and France

  4. RELATED LITERATURE • Positive relationshipfoundbetweenremittances and householdwelfare : • Migration can raise to a higher standard of living, households-receiving remittances through an improvement of education, health, income, poverty (e.g. Tingsabadh,1989; Gustafsson and Makonnen,1993; Lachaud,1999; Adams and Page,2005; Acosta et al., 2006; Jongwanich, 2007) and inequality (e.g. Vaqar et al, 2010; Taylor and Wyatt,1996);

  5. RELATED LITERATURE • Neutral/ Negativerelationshipfoundbetweenremittances and householdwelfare : • With the so-called 'brain drain' phenomenon, with group of healthy educated people moving out of the country, there is an associated substantial loss of human capital. • Moreover, there is a dearth of literature on whether the effects of those remittances is gender biased. Besides, little is known on the existence of a differentiated effect of those remittances stemming from the gender of the sender.

  6. DOES THE EFFECT OF HOUSEHOLD REMITTANCES ON WELFARE OUTCOMES MODERATED AND MEDIATED BY THE GENDER OF THE SENDER AND THE ONE OF THE RECIPIENT? LESS EFFECTS ON WOMEN Deere et al (2015) Lower women’s bargaining power in Ecuador and Ghana Tshikala et al.(2014) Lower adoption rate of new technologies in rural Senegal for women headed households GENDER MATTER!!!! NEUTRAL EFFECT Female Labor Supply in Morocco (Ibourk et al. (2014)

  7. RESEARCH HYPOTHESIS H1:THE EFFECT OF REMITTANCES ON HOUSEHOLD WELFARE (CONSUMPTION) IS MODERATED AND MEDIATED BY THE GENDER OF THE RECIPIENT H2:THE EFFECT OF REMITTANCES ON HOUSEHOLD WELFARE (CONSUMPTION) IS MODERATED AND MEDIATED BY THE GENDER OF THE SENDER

  8. EMPIRICAL EVIDENCE FROM BURKINA FASO (West Africa)

  9. World Bank Living Standard Measurement Survey data Detailed (Household and individuallevel )information on Characteristics of the sender and receiver of migration remittances 10,411 households January -December2014

  10. METHODOLOGY: MICROECONOMETRIC ESTIMATION (possible estimation framework) Ordinary Least Squares (OLS) With correction of potential endogeneity threats (EIV, OVB, Reverse Causality) Propensity Score Matching (PSM)

  11. VARIABLES USED WOMEN RECIPIENT WOMEN SENDER 1 2 WOMEN RECIPIENT WOMEN SENDER INCOME LEVEL HOUSEHOLD DOES AGRICUL TURE WELFARE INCOME LEVEL 3 5 HOUSEHOLD DOES AGRICULTURE OWNERSHIP OF LAND AND ACCESS TO CREDIT 4 OWNERSHIP OF LAND AND ACCESS TO CREDIT

  12. EmpricalStrategy (3) Propensity score matching: match treated and untreated observations on the estimated probability of being treated (Here have received remittances) (propensity score). Most commonly used. • Match on the basis of the propensity score P(X) = Pr (D=1|X) • D is the Dummy indicating whether the household has reveived remittances

  13. World Bank Living Standard Measurement Survey (LSMS) data WOMAN’S HEAD OF THE HOUSE RECEIVING REMITTANCES THE LEVEL OF CONSUMPTION AT THE HOUSEHOLD LEVEL THE LEVEL OF CONSUMPTION AT THE HOUSEHOLD LEVEL WOMAN’S HEAD OF THE HOUSE RECEIVING REMITTANCES AND WOMEN’S SENDER WOMAN’S HEAD OF THE HOUSE RECEIVING REMITTANCES AND WOMEN’S SENDER THE LEVEL OF MPI AT THE HOUSEHOLD LEVEL

  14. Policy Relevance/ Implications WOMEN HEADED HOUSEHOLDS RECEIVING REMITTANCES ARE MORE LIKELY TO IMPROVE THE WELFARE OUTCOMES OF THEIR FAMILIES MIGRATION POLICIES SHOULD NOT BE GENDER NEUTRAL AS WOMEN ARE MORE LIKELY TO CONTRIBUTE TO THE WELFARE ENHANCEMENT OF THEIR COMMUNITIES BACK HOME

  15. THANK YOU

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