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.