Health Outcomes of Remittances in Developing Economies: An Empirical Analysis
Muhammad Nouman Shafiq () and
Seemab Gillani ()
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Muhammad Nouman Shafiq: epartment of Economics, the Islamia University of Bahawalpur, Pakistan.
Seemab Gillani: School of Economics, Quaid-e-Azam University, Islamabad, Pakistan.
Pakistan Journal of Economic Studies, 2018, vol. 1, issue 1, 1-20
Abstract:
Remittances are playing a vital role in the wellbeing of recipients by enlarging opportunities to a better quality of life, reducing child labor, providing a way to transfer knowledge, and educating about infant health care. Keeping in view the importance of remittances in the life of people, the current study intends to investigate the impact of remittances on child health by using a panel dataset covering 132 countries spanning over 1980 to 2015. Theoretically, the paper is based on Grossman’s (1972) demand for the health model. So, GDP per capita and health expenditures are taken as economic, the number of physicians as social, and access to improved water facilities and urbanization as environmental vectorsin the model. To tackle the endogenous nature of remittances, the System Generalized Methodof Moments is used. The results show that role of remittances helps to promotechild health. Regarding control variables, GDP per capita, the number of physicians, access to improved water facilities, and health expenditures reduce whereas urbanization increases infant mortality. This study suggests that growth in remittances could be used as a policy intervention to improve child health
Keywords: Remittances; Child Health; System GMM; Panel Data. (search for similar items in EconPapers)
JEL-codes: C23 F24 I1 (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:akw:iupjes:v:1:y:2018:i:1:p:1-20
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