Is the Relationship Between Remittances and Political Institutions Monotonic? Evidence from Developing Countries
Kevin Williams
South African Journal of Economics, 2018, vol. 86, issue 4, 449-467
Abstract:
Remittances have become one of the most important sources of household income in developing countries, empowering recipients to be more politically independent. Using a dynamic estimator and panel data for 84 developing countries over the 1982–2011 period, this paper investigates the effect that remittances have on political institutions. Controlling for country and time fixed effects and using an exogenous source of variation to instrument remittances, the baseline results show that remittances start having a positive effect on democratic institutions when remittances reach 22% of GDP. This evidence suggests that remittances can influence the relationship between recipients and political elites, providing incentives for recipient households to hold their political representatives more accountable.
Date: 2018
References: Add references at CitEc
Citations: View citations in EconPapers (2)
Downloads: (external link)
https://doi.org/10.1111/saje.12199
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:bla:sajeco:v:86:y:2018:i:4:p:449-467
Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0038-2280
Access Statistics for this article
South African Journal of Economics is currently edited by Philip A. Black
More articles in South African Journal of Economics from Economic Society of South Africa Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().