ABSTRACT

This article investigates how migration and remittances affect labor market, and how remittances influence human capital in Senegal. Using parametric and nonparametric estimation procedures for the correction of selection bias, the results reveal that migration and remittances reduce labor market participation of household members left behind, and that remittances increase human capital development of the left-behind. The study suggests that both the migration status and the level of remittances are relevant in understanding labor market participation and human capital formation.

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