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Immigrants in the United States send more than $20 billion every year back to Mexico—one of the largest flows of such remittances in the world. With The Remittance Landscape, Sarah Lynn Lopez offers the first extended look at what is done with that money, and in particular how the building boom that it has generated has changed Mexican towns and villages. Lopez not only identifies a clear correspondence between the flow of remittances and the recent building boom in rural Mexico but also proposes that this construction boom itself motivates migration and changes social and cultural life for migrants and their families. At the same time, migrants are changing the landscapes of cities in the United States: for example, Chicago and Los Angeles are home to buildings explicitly created as headquarters for Mexican workers from several Mexican states such as Jalisco, Michoacán, and Zacatecas. Through careful ethnographic and architectural analysis, and fieldwork on both sides of the border, Lopez brings migrant hometowns to life and positions them within the larger debates about immigration.
Remittances remain a key source of funds for developing countries, far exceeding official development assistance and even foreign direct investment. Remittances have proved to be more stable than private debt and portfolio equity flows, and less volatile than official aid flows, and their annual flow can match or surpass foreign exchange reserves in many small countries. Even in large emerging markets, such as India, remittances are equivalent to at least a quarter of total foreign exchange reserves. India, China, Philippines and Mexico are the top recipients of migrant remittances. The Migration and Remittances Factbook 2016 attempts to present numbers and facts behind the stories of international migration and remittances, drawing on authoritative, publicly available data. It provides a snapshot of statistics on immigration, emigration, skilled emigration, and remittance flows for 210 countries and 15 regional and income groups. The Migration and Remittances Factbook 2016 updates the 2011 edition of the Factbook with additional data on bilateral migration and remittances and second generation diasporas, collected from various sources, including national censuses, labor force surveys, population registers, and other national sources.
In this paper, we present evidence indicating that international migrant remittances lead to improved developmental outcomes. Using a cross-section of all Mexican municipalities (over 2400) in the year 2000, we show that an increase in the fraction of households receiving international remittances is correlated with better schooling and health indicators and with reductions in poverty, even after controlling for the likely endogeneity between remittances and developmental outcome variables. Our findings have important policy implications as they suggest that national governments and the international community should adopt measures that facilitate remittance flows.
The poverty-reducing effects of remittances have been well-documented, however, their effects on inequality are less clear. This paper examines the impact of remittances on inequality in Mexico using household-level information on the receiving side. It hopes to speak to their insurance role by examining how remittances are affected by domestic and external crises: the 1994 Mexican Peso crisis and the Global Financial Crisis. We find that remittances lower inequality, and that they become more pro-poor over time as migration opportunities become more widespread. This also strengthens their insurance effects, mitigating some of the negative impact of shocks on the poorest.
During the 2008 financial crisis, the possible changes in remittance-sending behavior and potential avenues to alleviate a probable decline in remittance flows became concerns. This book brings together a wide array of studies from around the world focusing on the recent trends in remittance flows. The authors have gathered a select group of researchers from academic, practitioner and policy making bodies. Thus the book can be seen as a conversation between the different stakeholders involved in or affected by remittance flows globally. The book is a first-of-its-kind attempt to analyze the effects of an ongoing crisis on remittance flows globally. Data analyzed by the book reveals three trends. First, The more diversified the destinations and the labour markets for migrants the more resilient are the remittances sent by migrants. Second, the lower the barriers to labor mobility, the stronger the link between remittances and economic cycles in that corridor. And third, as remittances proved to be relatively resilient in comparison to private capital flows, many remittance-dependent countries became even more dependent on remittance inflows for meeting external financing needs. There are several reasons for migration and remittances to be relatively resilient to the crisis. First, remittances are sent by the stock (cumulative flows) of migrants, not only by the recent arrivals (in fact, recent arrivals often do not remit as regularly as they must establish themselves in their new homes). Second, contrary to expectations, return migration did not take place as expected even as the financial crisis reduced employment opportunities in the US and Europe. Third, in addition to the persistence of migrant stocks that lent persistence to remittance flows, existing migrants often absorbed income shocks and continued to send money home. Fourth, if some migrants did return or had the intention to return, they tended to take their savings back to their country of origin. Finally, exchange rate movements during the crisis caused unexpected changes in remittance behavior: as local currencies of many remittance recipient countries depreciated sharply against the US dollar, they produced a “sale” effect on remittance behavior of migrants in the US and other destination countries.
Discussion of Mexican migration to the United States is often infused with ideological rhetoric, untested theories, and few facts. In Crossing the Border, editors Jorge Durand and Douglas Massey bring the clarity of scientific analysis to this hotly contested but under-researched topic. Leading immigration scholars use data from the Mexican Migration Project—the largest, most comprehensive, and reliable source of data on Mexican immigrants currently available—to answer such important questions as: Who are the people that migrate to the United States from Mexico? Why do they come? How effective is U.S. migration policy in meeting its objectives? Crossing the Border dispels two primary myths about Mexican migration: First, that those who come to the United States are predominantly impoverished and intend to settle here permanently, and second, that the only way to keep them out is with stricter border enforcement. Nadia Flores, Rubén Hernández-León, and Douglas Massey show that Mexican migrants are generally not destitute but in fact cross the border because the higher comparative wages in the United States help them to finance homes back in Mexico, where limited credit opportunities makes it difficult for them to purchase housing. William Kandel's chapter on immigrant agricultural workers debunks the myth that these laborers are part of a shadowy, underground population that sponges off of social services. In contrast, he finds that most Mexican agricultural workers in the United States are paid by check and not under the table. These workers pay their fair share in U.S. taxes and—despite high rates of eligibility—they rarely utilize welfare programs. Research from the project also indicates that heightened border surveillance is an ineffective strategy to reduce the immigrant population. Pia Orrenius demonstrates that strict barriers at popular border crossings have not kept migrants from entering the United States, but rather have prompted them to seek out other crossing points. Belinda Reyes uses statistical models and qualitative interviews to show that the militarization of the Mexican border has actually kept immigrants who want to return to Mexico from doing so by making them fear that if they leave they will not be able to get back into the United States. By replacing anecdotal and speculative evidence with concrete data, Crossing the Border paints a picture of Mexican immigration to the United States that defies the common knowledge. It portrays a group of committed workers, doing what they can to realize the dream of home ownership in the absence of financing opportunities, and a broken immigration system that tries to keep migrants out of this country, but instead has kept them from leaving.
Migration and Remittances from Mexico: Trends, Impacts, and New Challenges, edited by Alfredo Cuecuecha and Carla Pederzini, compiles twelve articles on the migration phenomenon from Mexico and other Latin American countries to the United States. The first part of the book provides an overview of three recent surveys, all carried out in Mexico. The surveys consider international migration flows from Mexico to the United States, the characteristics of migrants, and some of the causes and effects of migration in Mexico both for national and rural samples. The next section of the book analyzes the factors that explain the relationship between internal migration and human development. Then, the authors look at different issues of migration from Mexico and Latin American countries to the United States. The topics include female educational selection in migrants from Mexico to the United States, the impact of differences in the U.S.-Mexico labor market outcomes on the migratory flow, the working conditions of Mexican migrants to the United States under H2 visas, and the breadth and depth of migrants' connections from Latin American countries to the United States. The fourth and final section of the book studies a variety of aspects related to remittances from United States to Mexico and Latin American countries, including whether remittances promote growth in Mexico, whether remittances sent to Mexico finance migration of more Mexicans to the United States, and whether remittances have positive impacts in the households that receive them. The contributors to Migration and Remittances from Mexico are specialized migration researchers, trained in a broad variety of fields, including economics, sociology, demography, and political science in both Mexico and the United States. This range of backgrounds provides an essential multidisciplinary perspective from both sides of the border.
Frederick Jackson Turner Award Finalist Winner of the David Montgomery Award Winner of the Theodore Saloutos Book Award Winner of the Betty and Alfred McClung Lee Book Award Winner of the Frances Richardson Keller-Sierra Prize Winner of the Américo Paredes Book Award “A deeply humane book.” —Mae Ngai, author of Impossible Subjects “Necessary and timely...A valuable text to consider alongside the current fight for DACA, the border concentration camps, and the unending rhetoric dehumanizing Mexican migrants.” —PopMatters “A deep dive into the history of Mexican migration to and from the United States.” —PRI’s The World In the 1970s, the Mexican government decided to tackle rural unemployment by supporting the migration of able-bodied men. Millions of Mexican men crossed into the United States to find work. They took low-level positions that few Americans wanted and sent money back to communities that depended on their support. They periodically returned to Mexico, living their lives in both countries. After 1986, however, US authorities disrupted this back-and-forth movement by strengthening border controls. Many Mexican men chose to remain in the United States permanently for fear of not being able to come back north if they returned to Mexico. For them, the United States became a jaula de oro—a cage of gold. Undocumented Lives tells the story of Mexican migrants who were compelled to bring their families across the border and raise a generation of undocumented children.
"South-South Migration and Remittances" reports on preliminary results from an ongoing effort to improve data on bilateral migration stocks. It sets out some working hypotheses on the determinants and socioeconomic implications of South-South migration. Contrary to popular perception that migration is mostly a South-North phenomenon, South-South migration is large. Available data from national censuses suggest that nearly half of the migrants from developing countries reside in other developing countries. Almost 80 percent of South-South migration takes place between countries with contiguous borders. Estimates of South-South remittances range from 9 to 30 percent of developing countries' remittance receipts in 2005. Although the impact of South-South migration on the income of migrants and natives is smaller than for South-North migration, small increases in income can have substantial welfare implications for the poor. The costs of South-South remittances are even higher than those of North-South remittances. These findings suggest that policymakers should pay attention to the complex challenges that developing countries face not only as countries of origin, but also as countries of destination.
Workers' remittances have become a major source of financing for developing countries and are especially important in Latin America and the Caribbean, which is at the top of the ranking of remittance receiving regions in the world. While there has been a recent surge in analytical work on the topic, this book is motivated by the large heterogeneity in migration and remittance patterns across countries and regions, and by the fact that existing evidence for Latin America and the Caribbean is restricted to only a few countries, such as Mexico and El Salvador. Because the nature of the phenomenon varies across countries, its development impact and policy implications are also likely to differ in ways that are still largely unknown. This book helps fill the gap by exploring, in the specific context of Latin America and Caribbean countries, some of the main questions faced by policymakers when trying to respond to increasing remittances flows. The book relies on cross-country panel data and household surveys for 11 Latin American countries to explore the development impact of remittance flows along several dimensions: growth, poverty, inequality, schooling, health, labor supply, financial development, and real exchange rates.