Review of Economics of the Household

, Volume 9, Issue 1, pp 45–67

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

Article

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.

Keywords

International migration Savings Remittances Double-hurdle model Decomposition analysis 

JEL Classifications

F22 C34 D12 D91 

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Copyright information

© Springer Science+Business Media, LLC 2009

Authors and Affiliations

  1. 1.Social Policy Evaluation, Analysis and Research Centre (SPEAR), Research School of Social Sciences (RSSS)Australian National University, RWI and IZACanberraAustralia

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