Internal Migration, Remittances, and Labour Force Participation in Rural India: A Gender Perspective

This article examines the impact of domestic remittances on the labour supply of men and women in recipient households in rural India. Applying the instrumental variable approach to data from the National Sample Survey, estimates indicate that remittances have a negative effect on the labour force participation of left‐behind household members. They do not seem to affect participation in regular salaried work but cause a decline in participation in casual wage work and unpaid family work, and an increase in self‐employment, especially among female household members. Additionally, the receipt of remittances significantly increases women's participation in household duties outside the labour market.