International Development Planning Review

School attendance and migrant remittances in transition economies: The case of Albania and Tajikistan

International Development Planning Review (2010), 32, (3-4), 333–361.

Abstract

Millions of households in transition economies, such as Albania and Tajikistan, receive financial support from family members who work overseas. Remittances received in this fashion are becoming an increasingly important source of financing for these economies. The research question of this article is: do growing remittances in the transition economies lead to greater schooling among the school-aged children of the households receiving remittances from family members abroad?

Econometric analysis using the Living Standard Measurement Study (LSMS) in Albania and Tajikistan reveals strong positive effects of remittances on schooling. Holding other things constant, in both Albania and Tajikistan, children in an average household that receive remittances from a family member abroad are more likely to attend school than children in a household that does not receive remittances.

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Nakamuro, Makiko