© T. M. Whitmore TODAY Migration Remittances (a consequence of international emigration from LA) Rural to rural migration within LA Rural to urban migration within LA
© T. M. Whitmore LAST TIME The urban dual economy Migration International within Latin America International to and from Latin America
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. About 10 million Latin American immigrants (of the 16.5 m total) living in the United States Send about $50 billion to their families on a yearly basis. Each monthly transaction averages approximately $240 LA & C is now the fastest growing and highest volume remittance market in the world (> 150 million transfers annually to over 20 million recipients)
© T. M. Whitmore Remittance Origins in US Top US sending states = CA, NY, FL, IL, NJ (all over $1 billion annually) Top US sending states N C over $800 million annually
© T. M. Whitmore How is money sent? Most send remesasto to their families through international money transfer companies. 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 Remittance destinations in LA Over $1 billion annually = Over $1 billion annually Mexico (> 18% of pop receive remittance $)> 18% of pop receive remittance $ Dominican Republic ($300/capita/yr) El Salvador ( 28% receive $) Guatemala (> 24% receive $) Jamaica Cuba Ecuador (> 10% receive $) Columbia Brazil
© T. M. Whitmore Remittances to LA & C Exceed the combined flows of all Foreign Direct Investment (FDI) and net Official Development Assistance (ODA) Flows substantially exceed tourism income to each country & almost always exceed the largest export.
© T. M. Whitmore Scale of remittance flows Remittances to Mexico Greater than the country's total tourism income Greater than 2/3 of the value of petroleum exports About equal to 180% of the country's agricultural exports. The earnings of Salvadorans residing in the United States Greater than entire GDP of the country.
© T. M. Whitmore Spending Remittances Vast majority spent on household expenses Vast Investments in real estate (houses) increasinghouses Also investments in small business venturessmall business
© T. M. Whitmore Consequences & Issues Social consequences to the Latin American migrant workers’ families Social consequences About 1/3 are undocumented thus 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, does it increase or decrease equity?
Source: © IADB $1.2 b $13.2 b $5.2 b $3.7 b 2006 estimates-note big increases
Sources: IADB, World Bank ~$22 b (2006 est) ~$3 b (2006 est) ~$3.3 b (2006 est) ~$3.5 b (2006 est) ~$2.8 b (2006 est) ~$2.7 b (2006 est)
Source: © IADB
© Thomas Whitmore
Return migrant (remittance funded) housing in Ecuador © Brad Jokish
© Thomas Whitmore
Quiroga, Mexico
© Thomas Whitmore
© T. M. Whitmore Permanent: rural => rural From densely settled highlands to sparsely settled lowlands Andean to Amazonia Andean Andean to coast Central American Central From densely settled NE Brazil and S cities to Amazonia From Also temporary r -> r circulation
Amazonia
© T. M. Whitmore 4th type: rural => urban migration What is it? rural to urban migration => permanent change of residence Why migrate? “Push” and “Pull” forces Economic welfare Social welfare Other factors
© T. M. Whitmore Why migrate? Economic (pushes & pulls) Lack of land Few non-farm opportunities Little upward mobility Development => fewer rural jobs & jobs with less dignity New jobs have less autonomy Strategy of family income diversification
© T. M. Whitmore Why migrate II? Social (pushes & pulls) Education Health care access
© T. M. Whitmore Why migrate III? Other (pushes & pulls) Environmental Violence Individual factors
© T. M. Whitmore Who migrates? Age Gender Marital status Education level Personal Ethnicity
© T. M. Whitmore How do migrants move? Migration patterns Role of information Role of social networks Role of distance