Macroeconomic Determinants of Migrants' Remittances: New Evidence from a panel VAR
This paper examines the macroeconomic determinants of migrants' remittances dynamics. The study uses panel VAR methods in order to compensate for both data limitations and endogeneity among variables. The analysis considers annual data for 14 Latin and Caribbean countries over the period 1990-2007. The results show evidence that host (U.S) economic conditions are an important factor explaining remittances dynamics, while home economic conditions do not have a significant influence on remittances.
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