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Are foreign aid and migrant remittances sources of happiness in recipient countries?

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  • B. Mak Arvin
  • Byron Lew

Abstract

There is a dearth of research on how foreign aid and migrant remittances influence the level of happiness in recipient countries. This paper fills this void by presenting an empirical model where aid and remittances enter the happiness production function of a recipient country. We find that both aid and remittances are possible ingredients in the complex process of generating happiness and that their interactions, which have been ignored by previous studies in development economics, cannot be dismissed. A clear policy implication of our results is that remittances should be encouraged.

Suggested Citation

  • B. Mak Arvin & Byron Lew, 2011. "Are foreign aid and migrant remittances sources of happiness in recipient countries?," International Journal of Public Policy, Inderscience Enterprises Ltd, vol. 7(4/5/6), pages 282-300.
    • Handle: RePEc:ids:ijpubp:v:7:y:2011:i:4/5/6:p:282-300
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    Citations

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    Cited by:

    1. Simplice A. Asongu & Jacinta C. Nwachukwu, 2016. "Is the Threat of Foreign Aid Withdrawal an Effective Deterrent to Political Oppression? Evidence from 53 African Countries," Research Africa Network Working Papers 16/020, Research Africa Network (RAN).
    2. Simplice A. Asongu & Jacinta C. Nwachukwu, 2017. "Not all that glitters is gold: ICT and inclusive human development in Sub-Saharan Africa," International Journal of Happiness and Development, Inderscience Enterprises Ltd, vol. 3(4), pages 303-322.
    3. Asongu, Simplice, 2014. "Reinventing foreign aid for inclusive and sustainable development: a survey," MPRA Paper 65300, University Library of Munich, Germany.
    4. Simplice Asongu, 2016. "Reinventing Foreign Aid For Inclusive And Sustainable Development: Kuznets, Piketty And The Great Policy Reversal," Journal of Economic Surveys, Wiley Blackwell, vol. 30(4), pages 736-755, September.
    5. Simplice A. Asongu & Joseph I. Uduji & Elda N. Okolo-Obasi, 2020. "Foreign aid volatility and lifelong learning," International Journal of Education Economics and Development, Inderscience Enterprises Ltd, vol. 11(4), pages 370-406.
    6. Asongu Simplice, 2014. "The Evolving Debate on the Effect of Foreign Aid on Corruption and Institutions in Africa," Working Papers of the African Governance and Development Institute. 14/009, African Governance and Development Institute..
    7. Simplice Asongu, 2014. "A brief clarification to the questionable economics of foreign aid for inclusive human development," Working Papers of the African Governance and Development Institute. 14/028, African Governance and Development Institute..
    8. B. Mak ARVIN & Byron LEW, 2012. "Development Aid, Corruption, and the Happiness of Nations: Analysis of 118 countries over the years 1996-2009," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 12(2).
    9. Nekeisha Spencer & Zhonghui Liu, 2019. "Victimization and Life Satisfaction: Evidence from a High Crime Country," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 144(1), pages 475-495, July.

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