If you have to write a five paragraph essay on Worker’s Remittances you will no doubt need some facts. If you want some interesting facts for your next paper, consider the list of ten below:
- With international migration, or people moving across international borders, the growth and alleviation of poverty among countries of origin and destination are changing. There are over 247 million people since 2013 living outside of their birth country. 750 million people have migrated within their country of birth. Today that there are changes to the climate, the demographic forces and globalization which increasing migration pressure.
- International migration increases world incomes. When workers move to where they are most productive the migration increases income and aggregate output. Remittances help to reduce the severity of poverty. In addition to this remittances provide higher rates of human capital accumulation. Remittances provide greater health expenses and educational expenses. Remittances offer better communication technologies access and information access. Remittances improve access to formal financial services. Remittances enhance investments in small businesses and encourage higher entrepreneurship levels. Remittances prepare citizens against the adverse impact brought about by cyclones, droughts, and earthquakes. Remittances reduce child labor.
- When members of a large group or family scatter around the world in search of better jobs, it functions as an important source for capital, knowledge, technology, and trade for both the countries from which the people originate and the destination country where work is found.
- After NAFTA was implemented, the ability of farmers in America to send crops such as strawberries for low prices put many strawberry farmers in Mexico out of business. As a result, many of these poor farmers have taken to saving up all that they can in an effort to illegally cross the border in search of seasonal work. If they make it safely to America they work menial jobs at times and send the majority of their money back to their families in Mexico. Some individuals will remain away for at least one year; Due to the high cost of smuggling across the border they must remain working long enough to cover their coyote smuggling fees as well as earn the money their family needs to survive for as long as possible, and have money set aside to pay for a follow up trip back across the border at such a time as the money they send home runs out. This is a risky endeavor for those who do cross, and it means a great deal of financial risk, physical risk, legal risk, and time away from their families. Many of the farmers who were put out of business because of NAFTA do this regularly, sending most of their money back home.
- Due to NAFTA Mexico has made strides in nearing the levels of exports of the United States and Canada which has increased workers remittances. Mexican imports to the U.S. have increased four times since the implementation of NAFTA, rising from $60 billion per year to $280 billion per year. In addition, Mexico has moved from a closed economy to one that is open to investments and foreign markets. The amount of foreign direct investment in Mexico has also increased from $1.3 million prior to the implementation of NAFTA to $14 billion after the agreement was launched. Mexico’s agricultural exports have increased by more than 100% since NAFTA was introduced. The United States and Canada have invested more than $20 million in technology and programs to assist Mexico with challenges faced related to agricultural changes, all in an effort to ease the transition to open trade. As a direct result of the free trade agreement, wages have also increased and jobs have been created, additionally contributing to workers remittances from Mexican laborers and migrant labor into Mexico. Mexico has been able to benefit from increased competition and imports, which has worked to bring about lower prices for many goods.
- After the signing of NAFTA, the United States saw a rise in migrant workers looking for jobs in any industry so as to afford them the ability to send workers remittances back home. Many people now come from South American countries for years at a time, being deprived of their families and friends just for the opportunity to send them more money than could possibly be made in their home country. Statistics indicate that US manufacturing output increased by 58% between 1996 and 2003.
- Migrants who rely upon workers remittances from jobs held in the United States have also benefited from an increase in free trade with Canada and Mexico in terms of agriculture. Mexico and Canada are the two largest markets for American agricultural products. U.S. food and farm exports to the world have increased by approximately 65% over a 15 year period; however exports to the other two members of NAFTA have increased by 165%. Prior to NAFTA, U.S. exports to Mexico were in a decline. After NAFTA was introduced, that trend was reversed and 72% of the agricultural products imported into Mexico in 2007 were from the U.S.
- Officially recorded worker’s remittances sent back to developing countries in 2014 reached a total of $427 billion. This figure is an increase of 3.3% from the year prior. The total global workers remittance figures, including money sent to developed, high-income countries reached $580 billion.
- India is the top recipient of officially recorded workers remittances, with a total of $70 billion sent from around the world to India. Behind them in second place is China, where $62 billion of workers remittances were sent. In third place are the Philippines where $28 billion worth of workers remittances were sent. Behind them is Mexico where a total of $25 billion worth of workers remittances were sent. Some additional recipients include Egypt, Nigeria, Vietnam, Pakistan, and Bangladesh.
- Remittances which are sent to developing countries have equaled over three times the official amount of development assistance available in said countries. However, economic difficulties are the backbone for a projection that workers remittances are set to decrease by 2%.
These facts should give you sufficient constructive data for your 5-paragraph essay on worker’s remittance. Don’t forget to check our 20 topics and 1 sample essay on worker’s remittance as well as our guide on how to write a 5-paragraph essay.
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Aggarwal, Reena, Asli Demirgüç-Kunt, and Maria Soledad Martinez Peria. “Do workers’ remittances promote financial development?.” World Bank Policy Research Working Paper 3957 (2006).
Ratha, Dilip. “Workers’ remittances: an important and stable source of external development finance.” (2005).
Sayan, Serdar, and Ayça Tekin-Koru. “The Effects of Economic Developments and Policies in Host Countries on Workers’ Remittance Receipts of Developing Countries: The Cases of Turkey and Mexico Compared.” The Impact of Rich Country Policies on Developing Economies. London: Edward Elgar, forthcoming (2008).
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Swamy, Gurushri. “International migrant workers remittances: issues and prospects.” (1981).
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Yasmeen, Kausar, et al. “The Impact of Workers’ Remittances on Private Investment and Total Consumption in Pakistan.” International Journal of Accounting and Financial Reporting 1.1 (2011): 152.