The Impact of Migration on Poverty and Inequality in Myanmar
Using a household survey, MPLCS (2015), this paper attempts to compare the poverty rates and inequality levels in 2015 with counterfactual ones in the absence of migration and remittances. In order to impute a counterfactual per capita expenditure for households currently receiving remittances, this paper follows Heckman’s two step model with non-selection equation. The findings show that migration with remittances decrease the poverty reduction effect by 11 percent and inequality effect by 25 percent point. These effects vary among agro-ecological zones and rural and urban. Households in Coastal Zone are more dependent on remittances from migrants.
Keywords - Poverty, Inequality, Migration, Remittances