All other things equal, the effect of remittances on the welfare effects of immigration is that:

Question

Quizplus · Accepted Answer

Remittances are funds transferred from migrants to their home country. They can significantly boost the economy of the source country by increasing household incomes, enhancing consumption, and potentially leading to investments in health, education, and business ventures. This financial inflow contributes to the welfare and economic development of the source country, making the gains from international migration larger for these countries.

All Other Things Equal, the Effect of Remittances on the Welfare