Table 5

Impact of internal remittance on households' use of bank services by urban and rural area

Y1 (acc)Y2 (card)
Urban area (1)Rural area (2)Urban area (3)Rural area (4)
Remit0.0232 (0.034)0.0802*** (0.0307)0.0292 (0.0322)0.112*** (0.0351)
Hhsize0.0694*** (0.00828)0.0524*** (0.00488)0.0874*** (0.00844)0.0834*** (0.00514)
Rdepend−0.027 (0.0431)0.0146 (0.0217)−0.235*** (0.0394)−0.0812*** (0.0227)
Rfemale−0.026 (0.0645)−0.0583* (0.0339)−0.022 (0.0634)−0.0448 (0.0358)
Lpcexp0.287*** (0.0224)0.221*** (0.0138)0.214*** (0.0225)0.234*** (0.0140)
Agr−0.00876 (0.0507)−0.00884 (0.0137)−0.0788 (0.0479)−0.0367** (0.0149)
edu_head0.0281*** (0.00488)0.0251*** (0.00537)0.0456*** (0.00419)0.0415*** (0.00521)
gen_head−0.041 (0.0296)−0.0624*** (0.0191)−0.0208 (0.0278)−0.0936*** (0.0210)
Dbank−6.618 (9.257)9.818** (4.436)12.0291 (8.731)0.0624 (0.605)
Constant−2.886*** (0.247)−2.306*** (0.148)−2.046*** (0.247)−2.472*** (0.150)
Observations1,2242,8471,2242,847
R-squared0.2250.1460.2870.19
Durbin
Wu–Hausman
 p = 0.0369
p = 0.0363
 p = 0.0025
p = 0.0024
Sargan p = 0.2065 p = 0.1054
First-stage p = 0.0000 p = 0.0000

Note(s): Robust standard errors in parentheses, ***p < 0.01, **p < 0.05, *p < 0.1; Results in the column (2) and (4) are from the 2SLS method; results in the column (1) and (3) are from the LPM

Source(s): Authors' estimation from VHLSS (2016) 

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