Impact of International Migration on Labor Supply in Nepal
This paper analyzes the differential impact of migration on labor supply of the left-behind household members in Nepal, where international migration for employment, predominantly a male phenomenon, increased substantially between 2001 and 2011. Us...
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Format: | Working Paper |
Language: | English |
Published: |
World Bank, Washington, DC
2019
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Online Access: | http://documents.worldbank.org/curated/en/406581568642192459/Impact-of-International-Migration-on-Labor-Supply-in-Nepal http://hdl.handle.net/10986/32422 |
Summary: | This paper analyzes the differential
impact of migration on labor supply of the left-behind
household members in Nepal, where international migration
for employment, predominantly a male phenomenon, increased
substantially between 2001 and 2011. Using the Nepal Living
Standard Survey data, the paper extends the analysis by
incorporating the impacts on the extensive and intensive
margins. The study also answer the question: if they are not
wage-employed, in what activities are the remaining
household members engaging instead? The paper finds that, in
response to out-migration of some family members, women
realign their priorities and reallocate their time from
market employment to self-employment and home production,
possibly filling in the roles vacated by the migrants. In
contrast, the income effect dominates the impact of
migration on the left-behind men; that is, men value their
leisure more because of the remittances from abroad and
decrease their overall supply of labor. Additionally, the
research finds significant heterogeneity in the supply of
labor by age, skill, and household head status among the
left-behind women, pointing toward intrahousehold bargaining. |
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