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Workers’ Remittances and Growth in MENA Labor Exporting Countries

Sufian Eltayeb Mohamed
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Sufian Eltayeb Mohamed: Aristotle University of Thessaloniki

Authors registered in the RePEc Author Service: sufian Abedl-Gadir

No 2009.10, Working Papers from International Network for Economic Research - INFER

Abstract: This paper presents an empirical examination of effects of workers’ remittance on economic growth in a sample of 7 remittance-receiving MENA countries. In order to empirically analyze the impact of remittances we estimate growth equations using a set of 7 MENA labor exporting countries during the period 1975-2006. A standard growth models are estimated using both fixed-effects and random effects models. The empirical results show the support of the fixed –effects method as the random effects model is rejected in statistical tests. The results show the support for the view that remittances have a positive impact on growth both directly and indirectly through their interactions with financial and institutional channels.

Keywords: Remittances; Economic Growth; Panel Data; Fixed effects; MENA Countries (search for similar items in EconPapers)
Pages: 19 pages
Date: 2009
New Economics Papers: this item is included in nep-ara, nep-dev, nep-fdg and nep-mig
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