Financial development, remittances, and poverty reduction: Empirical evidence from a macroeconomic viewpoint

Takeshi Inoue

Journal of Economics and Business, 2018, vol. 96, issue C, 59-68

Abstract: We empirically analyze the interaction effects of financial development and remittances on poverty conditions in developing countries. By applying the generalized method of moments to panel data from 120 developing countries during 1980–2013, we find that financial development and remittance inflows help ameliorate poverty conditions in developing countries. In addition, we find that remittances substitute for financial development in the poverty-alleviating process. Therefore, developing countries should leverage either the domestic or external financial sources for their poverty reduction strategies, depending on their respective situations.

Keywords: Financial development; GMM; Poverty reduction; Remittances (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (29)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0148619517302746
Full text for ScienceDirect subscribers only

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:eee:jebusi:v:96:y:2018:i:c:p:59-68

DOI: 10.1016/j.jeconbus.2017.12.001

Access Statistics for this article

Journal of Economics and Business is currently edited by Emanuele Bajo and Moritz Ritter

More articles in Journal of Economics and Business from Elsevier
Bibliographic data for series maintained by Catherine Liu ().