Information of the doctoral thesis: “The Impact of Remittances on Household Economic Behavior in Vietnam”

Supervisor: Assoc, Prof. Dr. BuiVan Huyen.

Training Institution: Ho Chi Minh National Academy of Politics.

Summary of the dissertation’s new contributions:

New academic and theoretical contributions:

Building on a review of relevant scientific studies, the dissertation systematizes and integrates different approaches to remittances with theories of household consumption, saving, and resource allocation. On this basis, the dissertation contributes to further developing the theoretical framework on the effects of remittances on household behavior in Vietnam, with a focus on two key dimensions: household consumption behavior and the saving rate. The dissertation emplys an econometric model using data from the 2020 Vietnam Household Living Standard Survey (VHLSS 2020), systematically examining the effects of remittance flows from both domestic and international migration. This approach provides a new and more comprehensive perspective on the relationship between remittances and household behavior.

New points derived from research:

First, the thesis provides empirical evidence on the effects of remittances on household consumption behavior. The findings show that remittances increase expenditure on long-term-oriented items, such as education and healthcare, while also improving overall household welfare. Households receiving international remittances tend to prioritize expenditure on education, whereas households receiving remittances from domestic migrants increase their healthcare expenditure.

Second, the thesis confirms that remittances from international migrants affect household saving behavior and saving rates.  Remittances increase the saving rate among households with monthly incomes below VND 10 million. However, among households with monthly incomes ranging from VND 10 million to VND 30 million, this relationship is not statistically significant, whereas among households with monthly incomes above VND 30 million, the relationship is negative.

Third, the thesis proposes a set of solutions and policy recommendations, including recommendations for the government, credit institutions, and households, with the aim of optimizing the use of remittances.