IDEAS home Printed from https://ideas.repec.org/p/diw/diwwpp/dp622.html
   My bibliography  Save this paper

What Affects the Remittances of Turkish Workers: Turkish or German Output?

Author

Listed:
  • Sule Akkoyunlu
  • Konstantin A. Kholodilin

Abstract

In this paper we examine the interactions between the remittances of the Turkish workers in Germany and the output both in Turkey and in Germany. In our analysis we use the new data set provided by the German monetary authorities, which was never before employed in the literature and which we consider as a more reliable source than the data sets used in the other studies. We show that the remittances positively respond to the changes in the German output and do not react at all to the changes in Turkish output. This finding is consistent with the "remittance maximization" and "inheritance" motives of the migrants' behavior.

Suggested Citation

  • Sule Akkoyunlu & Konstantin A. Kholodilin, 2006. "What Affects the Remittances of Turkish Workers: Turkish or German Output?," Discussion Papers of DIW Berlin 622, DIW Berlin, German Institute for Economic Research.
    • Handle: RePEc:diw:diwwpp:dp622
    as

    Download full text from publisher

    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.44706.de/dp622.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Serdar Sayan, 2004. "Guest Workers' Remittances and Output Fluctuations in Host and Home Countries : The Case of Remittances from Turkish Workers in Germany," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 40(6), pages 68-81, November.
    2. Cooley, Thomas F. & Ohanian, Lee E., 1991. "The cyclical behavior of prices," Journal of Monetary Economics, Elsevier, vol. 28(1), pages 25-60, August.
    3. Osman Tuncay Aydas & Kivilcim Metin-Ozcan & Bilin Neyapti, 2005. "Determinants of Workers' Remittances : The Case of Turkey," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 41(3), pages 53-69, May.
    4. Poirine, Bernard, 1997. "A theory of remittances as an implicit family loan arrangement," World Development, Elsevier, vol. 25(4), pages 589-611, January.
    5. Rapoport, Hillel & Docquier, Frederic, 2006. "The Economics of Migrants' Remittances," Handbook on the Economics of Giving, Reciprocity and Altruism, in: S. Kolm & Jean Mercier Ythier (ed.), Handbook of the Economics of Giving, Altruism and Reciprocity, edition 1, volume 1, chapter 17, pages 1135-1198, Elsevier.
    6. Hoddinott, John, 1994. "A Model of Migration and Remittances Applied to Western Kenya," Oxford Economic Papers, Oxford University Press, vol. 46(3), pages 459-476, July.
    7. Matthew Higgins & Alketa Hysenbegasi & Susan Pozo, 2004. "Exchange-rate uncertainty and workers' remittances," Applied Financial Economics, Taylor & Francis Journals, vol. 14(6), pages 403-411.
    8. Nicholas P. Glytsos, 1997. "Remitting Behaviour of “Temporary” and “Permanent” Migrants: The Case of Greeks in Germany and Australia," LABOUR, CEIS, vol. 11(3), pages 409-435, November.
    9. Andreoni, James, 1989. "Giving with Impure Altruism: Applications to Charity and Ricardian Equivalence," Journal of Political Economy, University of Chicago Press, vol. 97(6), pages 1447-1458, December.
    10. Ilahi, Nadeem & Jafarey, Saqib, 1999. "Guestworker migration, remittances and the extended family: evidence from Pakistan," Journal of Development Economics, Elsevier, vol. 58(2), pages 485-512, April.
    11. El-Sakka, M. I. T. & McNabb, Robert, 1999. "The Macroeconomic Determinants of Emigrant Remittances," World Development, Elsevier, vol. 27(8), pages 1493-1502, August.
    12. Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-918, October.
    13. Lucas, Robert E B, 1985. "Mines and Migrants in South Africa," American Economic Review, American Economic Association, vol. 75(5), pages 1094-1108, December.
    14. Glytsos, Nicholas & Katseli, Louka Tarsitsa, 1986. "Theoretical and Empirical Determinants of International Labour Mobility: A Greek-German Perspective," CEPR Discussion Papers 148, C.E.P.R. Discussion Papers.
    15. Morten O. Ravn & Harald Uhlig, 2002. "On adjusting the Hodrick-Prescott filter for the frequency of observations," The Review of Economics and Statistics, MIT Press, vol. 84(2), pages 371-375.
    16. Agarwal, Reena & Horowitz, Andrew W., 2002. "Are International Remittances Altruism or Insurance? Evidence from Guyana Using Multiple-Migrant Households," World Development, Elsevier, vol. 30(11), pages 2033-2044, November.
    17. Faini, Riccardo, 1994. "Workers Remittances and the Real Exchange Rate: A Quantitative Framework," Journal of Population Economics, Springer;European Society for Population Economics, vol. 7(2), pages 235-245.
    18. Elbadawi, Ibrahim & de Rezende Rocha, Robert, 1992. "Determinants of expatriate workers'remittances in North Africa and Europe," Policy Research Working Paper Series 1038, The World Bank.
    19. Nicholas Glytsos, 2005. "“Dynamic Effects of Migrant Remittances on Growth: An Econometric Model with an Application to Mediterranean Countries”. Discussion Paper, No. 74, KEPE, Athens, 2002," Labor and Demography 0505014, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Deodat E. Adenutsi & Meshach J. Aziakpono & Matthew K. Ocran, 2011. "The Changing Impact Of Macroeconomic Environment On Remittance Inflows In Sub-Saharan Africa," Journal of Academic Research in Economics, Spiru Haret University, Faculty of Accounting and Financial Management Constanta, vol. 3(2 (July)), pages 136-167.
    2. Farid Makhlouf, 2014. "Propriétés cycliques des transferts de fonds des migrants marocains," Working Papers hal-01885146, HAL.
    3. Abbas, Shujaat, 2020. "Impact of oil prices on remittances to Pakistan from GCC countries: evidence from panel asymmetric analysis," MPRA Paper 107246, University Library of Munich, Germany.
    4. Akira Shimada, 2012. "Migration decisions, expected remittances, and altruism," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 59(3), pages 285-296, September.
    5. Bettin, Giulia & Paçacı Elitok, Seçil & Straubhaar, Thomas, 2012. "Causes and consequences of the downturn in financial remittances to Turkey: A descriptive approach," Edition HWWI: Chapters, in: Paçacı Elitok, Seçil & Straubhaar, Thomas (ed.), Turkey, migration and the EU, volume 5, pages 133-166, Hamburg Institute of International Economics (HWWI).
    6. Farid Makhlouf, 2014. "Propriétés cycliques des transferts de fonds des migrants marocains," Working papers of CATT hal-01885146, HAL.
    7. Imran Khan & Darshita Fulara Gunwant, 2023. "Is the remittance inflow to the Turkish economy sustainable? A glimpse of the future through the lens of the past," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 25(1), pages 34-51, June.
    8. Karla Borja, 2012. "The Impact Of The Us Recession On Immigrant Remittances In Central America," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 3(03), pages 1-24.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Carlos Vargas-Silva & Peng Huang, 2006. "Macroeconomic determinantsof workers' remittances: Hostversus home country's economic conditions," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 15(1), pages 81-99.
    2. Giulia Bettin & Andrea F. Presbitero & Nikola L. Spatafora, 2017. "Remittances and Vulnerability in Developing Countries," The World Bank Economic Review, World Bank Group, vol. 31(1), pages 1-23.
    3. Ahmed, Junaid & Martinez-Zarzoso, Inmaculada, 2014. "What drives bilateral remittances to Pakistan? A gravity model approach," University of Göttingen Working Papers in Economics 209, University of Goettingen, Department of Economics.
    4. Sule Akkoyunlu, 2010. "Are Turkish Migrants Altruistic?," KOF Working papers 10-246, KOF Swiss Economic Institute, ETH Zurich.
    5. Adams, Richard H., Jr., 2008. "The demographic, economic and financial determinants of international remittances in developing countries," Policy Research Working Paper Series 4583, The World Bank.
    6. Adams Jr., Richard H., 2009. "The Determinants of International Remittances in Developing Countries," World Development, Elsevier, vol. 37(1), pages 93-103, January.
    7. Jamal Bouoiyour & Amal Miftah, 2014. "Why do migrants remit? An insightful analysis for Moroccan case," Working papers of CATT hal-01880332, HAL.
    8. Jamal Bouoiyour & Amal Miftah, 2014. "Why do migrants remit? An insightful analysis for Moroccan case," Working Papers hal-01880332, HAL.
    9. Diego Alberto Sandoval Herrera & María Fernanda Reyes Roa, 2012. "¿Por qué los migrantes envían remesas?: Repaso de las principales motivaciones microeconómicas," Borradores de Economia 10036, Banco de la Republica.
    10. Rapoport, Hillel & Docquier, Frederic, 2006. "The Economics of Migrants' Remittances," Handbook on the Economics of Giving, Reciprocity and Altruism, in: S. Kolm & Jean Mercier Ythier (ed.), Handbook of the Economics of Giving, Altruism and Reciprocity, edition 1, volume 1, chapter 17, pages 1135-1198, Elsevier.
    11. Patrick GUILLAUMONT & Maëlan LE GOFF, 2010. "Aid and remittances: their stabilizing impact compared," Working Papers P12, FERDI.
    12. Alessio Ciarlone, 2023. "Remittances in times of crisis: evidence from Italian corridors," Temi di discussione (Economic working papers) 1402, Bank of Italy, Economic Research and International Relations Area.
    13. K Clark & S Drinkwater, 2001. "An Investigation of Household Remittance Behaviour," Economics Discussion Paper Series 0114, Economics, The University of Manchester.
    14. Junaid Ahmed & Mazhar Mughal & Inmaculada Martínez‐Zarzoso, 2021. "Sending money home: Transaction cost and remittances to developing countries," The World Economy, Wiley Blackwell, vol. 44(8), pages 2433-2459, August.
    15. Mduduzi Biyase & Fiona Tregenna, 2016. "Determinants of remittances in South Africa," SALDRU Working Papers 176, Southern Africa Labour and Development Research Unit, University of Cape Town.
    16. Imene Guetat & Dorsaf Sridi, 2017. "Institutional quality effect on remittances in MENA region," Middle East Development Journal, Taylor & Francis Journals, vol. 9(1), pages 84-100, January.
    17. William Collier & Matloob Piracha & Teresa Randazzo, 2018. "Remittances and return migration," Review of Development Economics, Wiley Blackwell, vol. 22(1), pages 174-202, February.
    18. Hulya Ulku, 2012. "Remitting Behaviour of Turkish Migrants: Evidence from Household Data in Germany," Urban Studies, Urban Studies Journal Limited, vol. 49(14), pages 3139-3158, November.
    19. Nedzad ISAKOVIC & Erkan ILGUN, 2015. "Cyclical Properties of Workers' Remittances: Evidence from Bosnia and Herzegovina," International Journal of Economics and Financial Issues, Econjournals, vol. 5(1), pages 172-187.
    20. Aaron Levi Garavito-Acosta & Maria Mercedes Collazos-Gaitan & Manuel Dario Hernandez-Bejarano & Enrique Montes-Uribe, 2019. "Migración internacional y determinantes de las remesas de trabajadores en Colombia," Borradores de Economia 1066, Banco de la Republica de Colombia.

    More about this item

    Keywords

    Migration; remittances; Turkey; Germany;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:diw:diwwpp:dp622. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Bibliothek (email available below). General contact details of provider: https://edirc.repec.org/data/diwbede.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.