Consumption gap between migrant households and urban households in major cities in Vietnam
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PhD Seminar (Econ)
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This paper examines the difference in consumption between migrant and urban households in major cities in Vietnam. Employing data from the 2012 Vietnam Household Living Standard Survey (VHLSS2012) and the 2013 Vietnam Rural Urban Migration Survey (VRUMS2013), our results indicate that the consumption level is considerably higher for urban households compared to migrant households. Using OLS and propensity score matching estimate, we find that the difference in non-food consumption is significant and large, while food consumption gap is negligible between the two groups. In addition, our results show that household registration system (Ho khau) can be a potential factor contributing to the consumption gap through remittances and precautionary saving. These findings imply disadvantages of migrant households in the cities and suggest that the on-going debates on the Ho khau system in Vietnam should take into account the impact of Ho khau imposed on migrants to increase their access to social services.
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