Labor supply of vietnamese brides households a case study in vinh long

MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY -    - NGUYEN THI NHUNG LABOR SUPPLY OF VIETNAMESE BRIDES’ HOUSEHOLDS – A CASE STUDY IN VINH LONG MASTER OF PUBLIC POLICY THESIS HO CHI MINH CITY - 2013 MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY FULBRIGHT ECONOMICS TEACHING PROGRAM -    - NGUYEN THI NHUNG LABOR SUPPLY OF VIETNAMESE BRIDES’ HOUSEHOLDS – A CASE STUDY IN VINH LONG Public Policy Major Code: 60340402 MASTER OF PUBLIC POLICY THESIS SUPERVISOR DR JONATHAN R PINCUS HO CHI MINH CITY - 2013 -i- CERTIFICATION I certify that I wrote this thesis myself I certify that the substance of the thesis has not already been submitted for any degree and is not being currently submitted for any other degree I certify that any help and all sources have been acknowledged in this thesis with my best of knowledge The study does not necessary reflect the views of the Ho Chi Minh City Economics University or Fulbright Economics Teaching Program Author Nguyen Thi Nhung -ii- To my family, friends, FETP and my supervisor Dr Jonathan R Pincus For the foundation of love And the structure of support -iii- TABLE OF CONTENS CERTIFICATION i TABLE OF CONTENS iii ABSTRACT vi ABBREVIATIONS vii LIST OF TABLES viii LIST OF FIGURES ix LIST OF BOXES x CHAPTER INTRODUCTION 1.1 Problem statement 1.2 Research statement of the study 1.3 Study objectives 1.4 Data and methodology 1.4.1 Data 1.4.2 Methodology 1.5 The structure of the study CHAPTER LITERATURE REVIEW 2.1 Relevant concepts 2.2 Theoretical background 2.2.1 The hours of work decision 2.2.2 The hours of work changes when non-labor income changes 2.3 Empirical studies of labor supply 2.4 Conclusion CHAPTER RESEARCH METHOD 3.1 Research method 3.2 The structure of the survey -iv- 3.3 Survey sample size and sampling method 10 3.4 Data collection instrument 11 3.5 Limitations of the survey 11 CHAPTER LABOR SUPPLY OF TRANSNATIONAL WOMEN’S HOUSEHOLDS IN VINH LONG 13 4.1 Basic information 13 4.2 Transnational marriages affect the livelihood strategies of the relevant households 14 4.2.1 Property 14 4.2.2 Main income 18 4.2.3 The support of married women 19 4.2.4 Changes in hours of work, leisure activities and incomes 25 4.3 Changes in labor supply of male relatives of transnational brides 28 4.3.1 Job types, occupations and hours of work 28 4.3.2 Working motivation 31 4.4 Unemployment and dependency ratio 36 4.4.1 Dependency ratio 36 4.4.2 Unemployment 38 4.5 The support from male relatives to transnational brides 42 4.6 Conclusion 43 CHAPTER RECOMMENDATION 45 5.1 Households should develop their economics activities and make use of remittances 45 5.2 Education should be available to the people to find job opportunities 45 5.3 Migrant’s households should invest and help other households 46 CHAPTER CONCLUSION 47 6.1 Conclusion 47 -v- 6.2 Limitations of the study 47 REFERENCES 49 Vietnamese 49 English 49 APPENDIXES 50 -vi- ABSTRACT This study examines the labor supply of households in Vinh Long Province in which at least one female member has left the country after marrying a foreign national It compares characteristics of 168 married women’s households In particular, the study focuses on households in which women marry foreigners voluntarily Transnational marriage has been common in many districts of Vinh Long for a long time Women who marry foreigners contribute to the well-being of their households of origin Households in which transnational women have lived abroad have more children and elderly than non-migrant’s households In addition, a large number of laborers in these households not earn money and rely on remittances Households with migrants (transnational women) have more opportunities for sustainable livelihoods However, they have not made use of the support that the migrant women provide They lack effective strategies to increase their labor income as well as protect their transnational women Men are more likely to move out the labor market Accordingly, the study’s policy recommendations pertain to creating job opportunities for women and stimulating labor supply on the part of men to increase household incomes Key words: Labor supply, households, males, transnational marriage, transnational women -vii- ABBREVIATIONS HCMC : Ho Chi Minh City NGO : Non Governmental Organization VND : Vietnamese Dongs USD : United State Dollars -viii- LIST OF TABLES Table 4.1 The difference of house areas 14 Table 4.2 The difference of garden and paddy areas of households 17 Table 4.3 Males’ average hours of work 30 Table 4.4 Males’ education levels 31 Table 4.5 The hours that men are willing to work more 34 Table 4.6 The reasons that men are unwilling to a second job 35 Table 4.7 Dependency ratios of households 37 Table 4.8 Difference of household sizes 37 Table 4.9 People who move out of labor force in two groups 39 -54- Fisher (owner of fish farm) Food/rice or rubbish collector Charcoal collector Shop owner or grocer Retailer (in street without stable premise) Transporter (kind of vehicles) 10 Transport (hired worker) 11 Worker in construction, mason 12 Carpenter 13 Craftsman (weaving jobs) 14 Worker (kind of business) 15 Causal workers 16 Housemaid 17 Waiter (hotel/restaurant/food course) 18 Technician (electric, engineering, water) 19 Commune’s official 20 Teacher 21 Office staff 22 Other jobs (in detail) 23 Not working because property for lease 24 Not working now because of relatives’ support * Add the working hour per week if possible Which are your future plans to increase household’s income? a Buy paddy or garden b Buy means of production (shop, vehicle, boat…) -55- c Afford children’s education (detail of degree) d Afford children’s skills (detail of skills) e Saving in bank f Loan with interest g Take part in a tontine h Change jobs (detail of new jobs) i Maintain current business j Afford children to learn foreign languages k Have no plan now Are you willing to work over time? a Yes, with …………… hours per week b No, please give your reason………………………………………… …………………… Are you willing to take second job? a Yes This is ……………………………………………… ………………………………… b No, please give your reason ………………… ………… …………… Part 4: Working status of members Employment (with income) No Code Unemployment In a week In a month In months In a year If you are unemployment, please tell your reason why you quit your job? a Had a support from relatives b Be dismissed because employers collapse or curtail c Be dismissed because employers not hire more d Lose properties (sell land, vehicle, shop or franchise) e Bored of previous job f Wait for a new job’s result g Wait for a suitable job h Sick or retirement i Busy to take care of other relatives (detail your relatives)………………………………… Are you willing to work over time? -56- a Yes, with …………… hours per week b No, please give your reason……………………………………… ……………………… Are you willing to take second job? a Yes This is ………………………………………………… ……………………………… b No, please give your reason …………………… ………… ……………………………… Part 5: The support of married women According to you, what are the main supports from your married women? a) Monthly expenses b) New jobs for relatives c) Buy furniture/instrument or device at home d) Pay healthcare payment e) Build a new house f) Buy properties to run business g) Afford relative’s tuition fees (training skills) h) Afford relative’s tuition fees (study at school) i) Help other relatives marrying foreigners j) Other kinds of helps (detail) ………………………………………… k) No help, but married women has reduced the family’s burden l) Family has lost one laborer and decreased income m) Family had to support the married women If your daughters come back permanently, how can you help them? a Housing b Land c Money d Food e New jobs f Other kind of support………………………………………………………………………… In general, how does your family change after your daughter/sister get married? a Labor income (increase, release or unchanged)……………………………………………… b Total income (increase, release or unchanged) ……………………………………………… c Working hour (increase, release or unchanged)……………………………………………… d Leisure activities (increase, release or unchanged) …………………………………………… How you feel about cross border marriage? ……………………………………………………………………………………………… -57- APPENDIX Monthly average income per capita at current price Thousand VND 2005 2006 2008 501 604 938 Urban 681 839 Rural 447 566 Vinh Long City 879 1060 Long Ho District 515 622 Mang Thit District 490 Vung Liem District Whole province 2009 2010 2011 1,104 1,239 1,570 1,638 1,835 2,302 1,007 1,133 1,436 1,652 1,849 2,319 955 1,123 1,245 1,550 611 940 1,105 1,228 1,534 452 602 916 1,078 1,208 1,501 Tam Binh District 461 600 932 1,095 1,223 1,521 Binh Minh District 467 601 933 1,097 1,225 1,528 Tra On District 447 598 915 1,075 1,193 1,485 - - 923 1,085 1,219 1,507 By urban, rural 1,383 851 By district Binh Tan District Source: Vinh Long Statistical Yearbook (2012) 1,421 -58- APPENDIX The occupations of Taiwanese men and Vietnamese women Source: Author’s calculation from the report of the Justice Department (2005) -59- APPENDIX Kinds of households and house’s goods between two groups Group No Kinds of household Houses Ratio (%) Group Houses Ratio (%) One household with many rooms 100 89% 51 91% Many households with many rooms 8% 5% Separate apartment 2% Temporary building/tent 1% 2% 0% Roof's materials Concrete 29 26% 9% Tile (glazed tile or clay tile) 14 13% 11% Metal tile/corrugated iron/cement fibro 55 49% 31 55% 14 13% 14 25% Leaves/ grasses/ bamboos Wall materials Concrete 29 26% 13% Brick/ stone 47 42% 24 43% Wooden/ metal 22 20% 14 25% Ground/ leaves/gypsum 4% 11% Bamboos/plywood 3% 5% Others 1% 4% Floor materials Concrete 19 17% 7% Wooden 1% 0% Ceramic tile 52 46% 23 41% Refined brick 35 31% 22 39% Terra cotta 4% 0% Clay or ground 3% 9% Cement 0% 4% Source: Author’s calculation from the survey -60- APPENDIX Differences of durable goods between two groups Group No Group Kinds of furnishings Mean Variance Mean Variance df t Stat P(T