ABSTRACT
This chapter examines the basis for migration-development optimism or pessimism in the context of Southeast Asia, drawing upon empirical studies conducted in the region. It outlines the main channels of international migration and remittance flows in Southeast Asia, including both cross-border migrant flows within the region, and international migrations further afield. The chapter provides the evidence for positive and negative outcomes from across the region that are attributable to migration as a development strategy. A key argument of migration-development optimists is that remittances boost government revenues, foreign exchange earnings and national sovereign debt ratings. Remittance flows are also a source in increased aggregate demand in the domestic economy, thereby increasing overall wealth, and a source of foreign exchange earnings, which allow imports. Perhaps the strongest argument laid out by remittance optimists is that a direct flow of funds to households provides an efficient and incorruptible channel to reduce poverty and increase household incomes and well-being.
