Abstract
The paper examines the empirical relationship between remittances and economic growth for a sample of 62 developing countries over the time period 1990–2014. Remittances seem to promote growth only in the ‘more open’ countries. That is because remittances are in themselves not sufficient for growth. The extent of the benefit depends on domestic institutions and macroeconomic environment in the receiving country. Unlike the ‘less open’ countries, ‘more open’ countries have better institutions and better financial markets to take advantage of the remittances income and channelise them into profitable investments which, in turn, accelerates the rate of economic growth in these countries.
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Artikel in diesem Heft
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Artikel in diesem Heft
- Intellectual Property Rights, Foreign Direct Investment and Economic Freedom
- Exchange Rate Adjustments and US Trade with China: What does a State Level Analysis Tell Us?
- Impact of Remittances on Economic Growth in Developing Countries: The Role of Openness
- ECB Monetary Policy Actions and the Economic Conditions of a Non-Euro Member: The Case of Croatia
- Is Real Depreciation or Rising Government Debt Contractionary in India? A Simultaneous-Equation Model
- Globalization and Aid Inflows in the Economic Growth of Vietnam
- Pakistan-EU Commodity Trade: Is there Evidence of J-Curve Effect?
- Inflationary Thresholds, Financial Development and Economic Growth: New Evidence from Two West African Countries