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image/svg+xml Jakob Voss, based on art designer at PLoS, modified by Wikipedia users Nina and Beao Closed Access logo, derived from PLoS Open Access logo. This version with transparent background. http://commons.wikimedia.org/wiki/File:Closed_Access_logo_transparent.svg Jakob Voss, based on art designer at PLoS, modified by Wikipedia users Nina and Beao World Developmentarrow_drop_down
image/svg+xml Jakob Voss, based on art designer at PLoS, modified by Wikipedia users Nina and Beao Closed Access logo, derived from PLoS Open Access logo. This version with transparent background. http://commons.wikimedia.org/wiki/File:Closed_Access_logo_transparent.svg Jakob Voss, based on art designer at PLoS, modified by Wikipedia users Nina and Beao
World Development
Article . 2020 . Peer-reviewed
License: Elsevier TDM
Data sources: Crossref
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Remittances, health insurance, and pension contributions: Evidence from Colombia

Authors: Andres Cuadros-Meñaca;

Remittances, health insurance, and pension contributions: Evidence from Colombia

Abstract

Abstract Pension contributions and health insurance guarantee that people withdraw from the labor market without falling into poverty and protect individuals and their families against adverse health shocks. However, many workers with informal jobs in developing countries lack access to these two components of the social security system. This study addresses whether international remittance income increases participation in the pension and health schemes for individuals working in informal jobs. To identify the causal impact of remittances, I use a nationally-representative household data from Colombia and an instrumental variable (IV) approach that relies on unemployment shocks in the main destination countries of Colombian migrants arising from the 2008 financial crisis. My study finds that those informal workers who live in a recipient household are more likely to enroll in the contributive plans than those in non-recipient households. Moreover, relative to their mean participation shares, I find that for workers at their prime working-age, the impact is more pronounced for women, and for informal workers at schooling age, the impact is slightly larger for boys. Finally, I also find that remittances decrease the likelihood of having an informal job and increase the probability of having a job where the employer share the contribution to the social security system. As part of a special issue on Sustainable Development Goals, this article provides evidence that remittances are an important source of income that increases contribution to pension and health, two essential components of the social security system to improve well-being and fight against poverty.

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
27
Top 10%
Top 10%
Top 10%
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