Workers' remittances and import demand in Pakistan

Khair-uz Zaman and Nazakat Ali Imrani
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Khair-uz Zaman: Department Economics, Gomal University, Dera Ismail Khan, Pakistan
Nazakat Ali Imrani: Department of Commerce and Business Administration, Gomal University, Dera Ismail Khan, Pakistan

Philippine Review of Economics, 2005, vol. 42, issue 2, 127-137

Abstract: Using quarterly data for the period 1975-2004, this paper estimates import functions for Pakistan both at the aggregate and disaggregated levels. Findings show that remittances do have a significant impact on the demand for imports in the aggregate equation, with the elasticity for remittances being 0.15, and 0.70 for domestically generated income, in the long run (natural logarithm). Remittances, however, have no impact on the demand for imported consumer goods; their impact on the import of raw materials and capital goods are greater than that of domestically generated income.

Keywords: overseas workers; remittances; import function; Pakistan (search for similar items in EconPapers)
JEL-codes: F2 (search for similar items in EconPapers)
Date: 2005
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Citations: View citations in EconPapers (1)

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