The central purpose of this thesis is to examine the situation of internal migration in Vietnam, and
particularly in the Mekong River Delta (MRD) region. To explore this regard, we use different sources
of data gathered from the Vietnam General Statistical Office and collected by the author. At first, the
push-pull cost model postulated by Dorigo and Tobler (1983) was applied to estimate “push” factors
in origins and “pull” factors in destinations that are relevant to explain inter-provincial migration
flows across 63 cities/provinces over the period of 2004-2009. It is also interesting that calculated
push and pull effects are useful to predict migration flows corresponding with economic -
demographic determinants of each area of origin and destination.
The MRD is the most sending region to others (especially the Southeast) in Vietnam. Empirical
models such as basic gravity and its expanded forms are used and tested to explain migration flows
between the MRD provinces, and to 3 major cities (i.e. Ho Chi Minh, Binh Duong , and Ha Noi) and to
the rest of Vietnam. The results from the basic gravity model prove that relative difference in income
and population size are the key driving determinants of migration. Also found, distance between
provinces restricts people to migrate. As incorporating several variables such as unemployment rate,
urbanization rate, poverty in the augmented models, the results suggest that higher returns (relative
income) and lower costs (distance) are the major factors of migration in this region, confirming
economic theories relating to migration.
Theoretical and empirical models are discussed and tested using the Cobb-Douglas function to
investigate effects of migration on agricultural production for farm hous eholds in the MRD region. As
found, migration reduces labor in farm and thus it affects labor productivity of agriculture . Following
the Cobb-Douglas function, the empirical results show that the households with migrants have
achieved a higher level of the labor productivity and the aggregated amount of incomes. This
evidence supports economic theory and empirical literature that migration is viewed as an option in
order to improve the standard of living.
To have a more specific insight into the MRD migrants’ life and their relationship to the family in
origin, a chapter consists of 3 issues: employment, earnings, and remittances by using a new survey
data collected by the author. First, following the employment choice model for individuals
introduced by Borjas (1986), the empirical result from the Logit function reveals that individuals who
are less skilled, older, married women often engage in the self-employment as their career option ,
because this type of job seems to be suitable to their ability and time constraint. In examining the
earnings, empirical models such as standard Mincer and expanded Mincer equations were applied to
test the human capital theory that relates to the crucial role of human capital in improving
individual’s earnings. In addition, several important variables including gender, employment, and
migration status were also incorporated in the expanded Mincer equation in order to control ability
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bias among individuals that may influence the earnings. The estimated results demonstrate that
education and job experience are two key factors that not only contribute positively to an
improvement of living standard for general laborers, but also explain inequality in earnings among
groups of laborers on the labor market (followed Oaxaca-Blinder decomposition analysis). For the
third issue, remittances are viewed as a mutual relationship between migrants and their family left
behind at origin, representing for altruistic and exchange motives rather than other motivations (e.g,
self-interest, co-insurance)
In conclusion, empirical evidences from this thesis are not only to improve better understanding of
the pattern of internal migration in Vietnam, with a focus on the MRD region, are but also relevant to
contribute to future policy formulation in relation between migration and economic development. In
addition, the following researchable issues concerning livelihood strategy of migrant household,
inequality in accessing public services among immigrants also need to be further explored.