© t. m. whitmore today migration remittances (a consequence of international emigration from la)...
TRANSCRIPT
© T. M. Whitmore
TODAY
•MigrationRemittances (a consequence of international emigration from LA)
•Rural to rural migration within LA•Rural to urban migration within LA
© T. M. Whitmore
LAST TIME
•The urban dual economy•Migration
International within Latin America
International to and from Latin America
Source: © IADB
Remittances: The Human Face of Globalization
© T. M. Whitmore
Remittances• They are monies sent by workers in the US
to their Latin American (and other) homes.
• About 10 million Latin American immigrants (of the 16.5 m total) living in the United States Send about $50 billion to their families
on a yearly basis. Each monthly transaction averages
approximately $240
• LA & C is now the fastest growing and highest volume remittance market in the world (> 150 million transfers annually to over 20 million recipients)
© T. M. Whitmore
Remittance Origins in US
•Top US sending states = CA, NY, FL, IL, NJ (all over $1 billion annually)
•N C over $800 million annually
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How is money sent?• Most send remesasto to their families
through international money transfer companies.These are costly: fees can run to 10% or
more• Less than 50% of Latin Americans have
bank accounts here or in home countriesThus some use professional viajeros
(travelers)• Agencies are now competing
IADB working to reduce fees and bottlenecks
In Durham, NC the Latino Community Credit Union charges from $6-10
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Remittance destinations in LA•Over $1 billion annually =
Mexico (> 18% of pop receive remittance $)
Dominican Republic ($300/capita/yr)El Salvador ( 28% receive $)Guatemala (> 24% receive $)JamaicaCubaEcuador (> 10% receive $)ColumbiaBrazil
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Remittances to LA & C•Exceed the combined flows of all
Foreign Direct Investment (FDI) and net Official Development Assistance (ODA)
•Flows substantially exceed tourism income to each country & almost always exceed the largest export.
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Scale of remittance flows•Remittances to Mexico
Greater than the country's total tourism income
Greater than 2/3 of the value of petroleum exports
About equal to 180% of the country's agricultural exports.
•The earnings of Salvadorans residing in the United StatesGreater than entire GDP of the
country.
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Spending Remittances
•Vast majority spent on household expensesInvestments in real estate (houses)
increasing Also investments in small business
ventures
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Consequences & Issues•Social consequences to the Latin
American migrant workers’ familiesAbout 1/3 are undocumented thus
Visits home are fewWages and working conditions may be poor
Families are divided• Impacts in Latin America
Is this development or dependency?How many participate, does it
increase or decrease equity?
Source: © IADB
$1.2 b
$13.2 b
$5.2 b
$3.7 b
2006 estimates-note big increases
Sources: IADB, World Bank
~$22 b (2006 est)
~$3 b (2006 est)
~$3.3 b (2006 est)
~$3.5 b (2006 est)
~$2.8 b (2006 est)
~$2.7 b (2006 est)
Source: © IADB
Source: © IADB
© Thomas Whitmore
Return migrant (remittance funded) housing in Ecuador© Brad Jokish
© Thomas Whitmore
© Thomas Whitmore
Quiroga, Mexico
© Thomas Whitmore
© Thomas Whitmore
© T. M. Whitmore
Permanent: rural => rural
•From densely settled highlands to sparsely settled lowlands
Andean to AmazoniaAndean to coastCentral American
•From densely settled NE Brazil and S cities to Amazonia
•Also temporary r -> r circulation
Amazonia
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4th type: rural => urban migration
•What is it? rural to urban migration =>
permanent change of residence•Why migrate?
“Push” and “Pull” forcesEconomic welfareSocial welfare Other factors
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Why migrate?•Economic (pushes & pulls)
Lack of landFew non-farm opportunitiesLittle upward mobilityDevelopment => fewer rural jobs &
jobs with less dignityNew jobs have less autonomyStrategy of family income
diversification
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Why migrate II?
•Social (pushes & pulls)EducationHealth care access
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Why migrate III?
•Other (pushes & pulls)EnvironmentalViolenceIndividual factors
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Who migrates?•Age
•Gender
•Marital status
•Education level
•Personal
•Ethnicity
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How do migrants move?
•Migration patterns Role of information Role of social networksRole of distance