Labor Migration & Remittance Loops
Labor Migration & Remittance Loops
Context
This model simulates rural-to-urban migration dynamics and the role of remittances. It represents how economic opportunity, workforce shifts, and income redistribution influence both urban growth and rural resilience.
Key Variables
- Rural Workforce: Origin population subject to migration.
- Migration Rate: Function of urban attractiveness.
- Urban Workers: Accumulated migrants in cities.
- Remittance Per Person: Income sent back to rural households.
- Daily Remittances: Aggregate income flow to origin communities.
Feedback Loops
- Positive Loop: Urban opportunity โ migration โ remittances โ improved rural consumption โ more migration.
- Balancing Potential: Rural depopulation reduces long-term labor pool and pressures rural sustainability.
Policy Relevance
Useful for modeling inter-state migration (e.g. Bihar to Delhi/Mumbai), labor shock response (e.g. pandemic-induced reverse migration), or rural employment program impacts on migration flow.
Region/Application
Eastern India labor-exporting states, remittance dynamics in Odisha, Bihar, or Nepal-India labor corridors.