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In this work we present empirical evidence to test for the impact of remittances on expenditure patterns in rural Mexican households located in poor areas. Using data from the Progresa-Oportunidades program from 1997 to 2000, we develop an econometric approach that deals with the selection mechanism affecting migration decisions, to estimate the impact that the probability of receiving remittances, internal and external, has on expenditure patterns of rural poor households. Our findings indicate that there are significant effects on some expenditure categories. Household with higher probabilities of receiving internal and external remittances are more likely to spend in expenditure categories like physical and human investments./ Este trabajo presenta evidencia empirica sobre el efecto de las remesas en los patrones de gasto de hogares rurales que viven en algunas de las zonas mas pobres de Mexico. Utilizando datos de las encuestas del programa Progresa-Oportunidades de los anos 1997 al 2000, se desarrolla un modelo econometrico que considera el proceso de autoseleccion involucrado en el fenomeno migratorio, para estimar el impacto que tiene la probabilidad de recibir remesas, internas y externas, en los patrones de gasto de estos hogares. Los resultados senalan que existen efectos significativos en ciertas categorias de gasto. Dichos hallazgos indican que los hogares con mayor probabilidad de recibir remesas tienen mayor propension a gastar en categorias de gasto relacionadas con la inversion fisica y humana.

MIGRATION AND REMITTANCES EFFECTS ON CONSUMPTION OF THE POOREST: THE MEXICAN CASE