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Indeed the effect of remittances caused by new migration can be negative.
We show that the positive effect of remittances on women's autonomy manifests primarily through the timing of remittance receipt, not the amount of money remitted.
The effect of remittances on GDP growth therefore depends upon how the money is spent by the recipients.Nevertheless, as this newspaper has previously argued, there are good reasons to make it easier for foreign workers to remit.
Ismail has published widely-cited research on the effect of remittances in Somaliland following the country's civil war.
Lemma 5 describes the effect of remittances on the variance of the migrant's future consumption.
In particular, the income effect of remittances may be stronger for poorer households with smaller budgets.
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Or, in other words, there is a rising effect of remittance income on education spending as the quality of education in a district grows.
Another study investigates the effects of remittances on access to public goods in Mexico.
The discussion of the effects of international migration in the communities of origin has stressed the potential positive effects of remittances on the well-being of the families and on the development of communities with high prevalence of international migration.
Several economists reckon that the brain-drain hypothesis fails to account for the effects of remittances, for the beneficial effects of returning migrants, and for the possibility that being able to migrate to greener pastures induces people to get more education.
Fig. 1 Marginal Effects of Remittances by School Quality.
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