University of Southern Queensland Law, Religion, and Heritage Research Program Team
Abstract
This study measures the impacts of remittances on reducing volatility of household consumption using a panel dataset of 84 developing countries during the period from 1978 to 2012. This study shows that the volatility of household consumption can significantly be reduced by international migrants’ remittances. The robustness checks reinforce the stabilising impact of migrants’ remittances on consumption volatility in developing countries. Since the overall consumption is an integral part of household welfare, the findings of this study highlight that international migrants’ remittances may indeed contribute significantly to households’ welfare through reducing the volatility of consumption in remittance receiving developing countries
