© T. M. Whitmore TODAY The urban dual economy Migration

© T. M. Whitmore LAST TIME Population Geography of LA continued  Demography – age structure  Geographic distribution of population  Urbanization  Roots of urban growth  Pluses & minuses of urban growth

© T. M. Whitmore The urban economy Dual system Dual  Formal Formal  corporate, government, commerce, and major businesses  Minority of jobs?  Informal Informal  services, local assembly and repair shops, family-run micro-businesses; day labor, domestics, etc.  Majority of jobs?

© T. M. Whitmore

Find the globalization! Tegucigalpa

Informal sector economy

© T. M. Whitmore

Informal economy, tile making (for export to posh homes in USA), Saltillo

Informal sector, Mexico City dump scavengers

© T. M. Whitmore Migration-the 3 rd part of demography Definitions  More-or-less permanent change in the locus of one’s life  Must cross political boundary “Circulation” a temporary change in residence

© T. M. Whitmore Migration — 4 major types 1 st type: International within Latin America 2 nd type: International to and from Latin America 3 rd type rural => rural migration 4 th type rural => urban migration

© T. M. Whitmore International migration within Latin Americawithin Mostly labor circulation flows Industrial and urban destinations Rural origin to urban destination

© T. M. Whitmore International to and from Latin America Colonial migrations  100s of thousands of Iberians  Forced migration of ~10 m AfricansAfricans 19th century migrations  Europeans to S Brazil, Argentina, Uruguay, Costa Rica  Asian indentured labor to Caribbean & Guyana, Surinam, etc. Contemporary migrations  Caribbean, Ecuador, “el Norte” CaribbeanEcuadorel Norte

© T. M. Whitmore

Example of International migration: Mexicans to US N limits of Mexico  Loss of ½ of Mexican territory to US in war of 1840s Post-Mexican war in 1880s 1920s revolution and post-revolution chaos in Mexico plus demand for ag workers in WWI in US => >500k  But small % of all immigrationsmall

© T. M. Whitmore Example of International migration: Mexicans to US II 1940s -1960s => Bracero program 1980s and beyond  Issue of illegal (undocumented) Mexico — USA labor markets closely coupled since 1880s Spatial patterns of migration Spatial Issue of remittancesremittances

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.US About 10 million Latin American immigrants (of the 16.5 m total) living in the United States  Send about $38 billion to their families on a yearly basis.  Each monthly transaction averages approximately $240

© T. M. Whitmore Scale of the Flows to LA & C For 2003, remittances to LA & C > $ 38 billion$ 38 billion Exceeds the combined flows of all Foreign Direct Investment (FDI) and net Official Development Assistance (ODA) LA & C is now the fastest growing and highest volume remittance market in the world (> 150 million transfers annually to over 20 million recipients) Flows substantially exceed tourism income to each country & almost always exceed the largest export. Account for at least 10% of GDP in: Haiti, Nicaragua, El Salvador, Jamaica, Dominican Republic, and Guyana

Source: © IADB

Source: © IADB

© T. M. Whitmore How is money sent? Most send remesasto their families through international money transfer companies. Most  These are costly: fees can run to 10% or more Less than 50% of Latin Americans have bank accounts here or in home countries  Thus 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

© T. M. Whitmore Consequences & Issues Social consequences to the Latin American migrant workers’ families  About 1/3 are undocumented  Visits home are few  Wages and working conditions may be poor  Families are divided Impacts in Latin America  Is this development or dependency?  How many participate?  How is it spent? How is it spent?

Source: © IADB

© Thomas Whitmore