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A panel data analysis of the growth effects of remittances

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  • Rao, B.Bhaskara
  • Hassan, Gazi

Abstract

Many development economists believe that remittances by the migrant workers are an important source of long rum growth. Therefore, recent studies have investigated the indirect and direct effects remittances on the growth rates of the recipient countries. This paper analyses the strength of these effects with a common data set and with alternative methods of estimation. It is found that while the evidence supports the indirect effects of remittances, the direct growth effects of remittances seem to be insignificant.

Suggested Citation

  • Rao, B.Bhaskara & Hassan, Gazi, 2009. "A panel data analysis of the growth effects of remittances," MPRA Paper 18021, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:18021
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    More about this item

    Keywords

    Remittances; Growth; Panel Data; System GMM;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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