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The hill regions of Uttar Pradesh have for decades been marked by a substantive out-migration. This study of the economic backwardness of the region focuses on out-migration and associated capital flows through an analysis of data. The sample survey of villages in different regions of the Uttar Pradesh hills, coupled with detailed interviews with the migrants in both their original settings and current location, helps provide new insights into the causes, patterns and implications of the migration phenomenon. R S Bora studies the impact of out-migration on land and labour productivity, income distribution through transfer income, and on the shifting pattern of work burdens between the sexes.