Determinants of savings and remittances: Empirical evidence from immigrants to Germany

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    Abstract

    This paper investigates the determinants of migrants' financial transfers to their home country using German data. A double-hurdle model is applied to analyze the determinants of the propensity to send transfers to the country of origin and the amount of transfers. The findings reveal that return intentions positively affect financial transfers of immigrants to their home country. The results of a decomposition analysis suggest that only a small part of the gap in financial transfers between temporary and permanent migrants can be attributed to differences in observable characteristics.
    Original languageEnglish
    Pages (from-to)45-67
    JournalReview of Economics of the Household
    Volume9
    Issue number1
    DOIs
    Publication statusPublished - 2011

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