Abstract

GARCIA NAJERA, Yesenia  and  CUECUECHA MENDOZA, Alfredo. The Impact of International Remittances on Investment in Education in Caltimacán, Hidalgo. Migr. Inter [online]. 2020, vol.11, e1590.  Epub Oct 02, 2020. ISSN 2594-0279.  https://doi.org/10.33679/rmi.v1i1.1590.

This article presents the results of a study about the impact of international remittances on investment in education in the Mexican town of Caltimacán, Hidalgo, Mexico, a community that is characterized by legal migration through temporary labor contracts. The estimations apply instrumental variables based on job creation in the American states were migrants worked between 2010 and 2016. The results show that the proportion of expenditure spent on education is higher among households that receive remittances than among households that do not receive them. However, this effect vanishes when household expenditure and wealth are introduced in the model. These results confirm that the investments in the education of the inhabitants of Caltimacán face credit constraints, which in turn are diminish by the reception of remittances.

Keywords : remittances; education investment; credit constraints; Caltimacán; Hidalgo.

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