Mexican Households in the United States: Average Income and Remittances Sent to Mexico

Remittances from the developed countries have had microeconomic and macroeconomic effects in peripheral countries over the last 30 years. In Mexico, remittances have grown from US$3,475 million in 1994 to US$64,745 million in 2024. In this article, we show that the behavior of these remittances is cyclical, and while some fluctuations have explanations, comprehensive studies on remittances remain scarce. By analyzing US census data on Mexican households living in the United States, we examine the relationship between the income of Mexican households residing in the United States and remittances received in Mexico. Through a demographic description and error correction model, our results show that there is long-term relationship between household income and remittances.

 

Mexican Household in the United States, Average Income per Household , Error Correction Model, Remittances

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