Does Dowry Drive Labor Export? Evidence from Pakistan

Abstract

In Pakistan, one household in six receives remittances from family members working elsewhere. Using household data from a national living standards survey, we find that propensity to receive remittances is strongly associated with a higher number of dependent girls relative to total children in a household. The effect is significant for younger households and for households with lower permanent income, and increases as girls approach expected marriage age. After controlling for other demographic and economic factors known to be associated with migration, we conclude that the need to save for dowry to be paid on the marriage of a daughter is likely to contribute to the labor export decision.