Coherent Identifier About this item: 20.500.12592/dns613

A model of foreign-born transfers

2006

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Summary

If the costs of the consumption set for both the spouse and any other dependent(s) resident in country (A) are cheaper than the costs of an identical consumption set in country (B) then the rational action of the household members is to decide to stay separated, if the households members derive no additional utility from living together. [...] The other case occurs in stage IV under limited dual citizenship where one spouse remains in the destination country to gain citizenship whilst the other spouse works in the origin country and sends funds to country B. 14 The model permits the possibility of other agents beyond the spouse who live outside the immediate household to transfer funds. [...] This extended model is designed to match the description of the behaviour of immigrants in the sociology literature.15 In that literature the immigrants are assumed to arrive with a set of cultural values and tastes which are different from those of the natives; this is reflected by possible non-zero values for (φis ). Over time, via assimilation, the behaviour of immigrants may become more simila [...] To account for this we estimated the system of equations with variables which captured the interaction for the years 1992 and 1996 and the income variable. [...] By running separate OLS regressions, the hypothesis of homogeneity cannot be rejected in six out of ten equations in the system for the Canadian-born population, seven out of ten equations for the South and East European immigrant population, and eight out of ten equations for the North American and West European and Asian immigrant population.

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education politics economy school remittance canada asians consumer price index family family reunification immigration tax emigrant remittances demographics gini coefficient regression seemingly unrelated regression further education cpi gini survey methodology ordinary least squares covariance r-squared informal sector (economics) remitted seemingly unrelated regressions cpis

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