Drinkwater, Stephen; Levine, Paul; Lotti, Emanuela - School of Economics, University of Surrey - 2006
This paper examines the relationship between remittances from interna- tional migration and imperfections in labour and … capital markets. We use a search-matching model of the labour market to show that remittances can have two opposing effects on … worker's bargaining power is low, this causes the unemployment rate to rise. Second, remittances available for investment …