Remittances: Dutch disease or export-led growth?
The literature on remittances and growth has thus far established a positive link between remittances and overall economic growth in recipient countries. We identify the main transmission channel through which remittances seem to exert their growth-enhancing effects: the 'export-led growth' channel using a methodology that exploits both cross-country and within-country cross-industry variation, and correcting for the endogeneity of remittances by constructing a set of external instruments. We find that remittances are conducive to the relative growth of exporting industries within teh manufacturing sector of recipient economies, contrary to what standard Dutch disease theory suggests. In doing so, we control for the potential complementarity effect between migrant networks and international trade.
|Date of creation:||2011|
|Date of revision:|
|Contact details of provider:|| Postal: Manor Road, Oxford, OX1 3UQ|
Web page: http://www.oxcarre.ox.ac.uk/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Edwards, Alejandra Cox & Ureta, Manuelita, 2003. "International migration, remittances, and schooling: evidence from El Salvador," Journal of Development Economics, Elsevier, vol. 72(2), pages 429-461, December.
When requesting a correction, please mention this item's handle: RePEc:oxf:oxcrwp:057. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Celia Kingham)
If references are entirely missing, you can add them using this form.