Determining the factors that influence migrant worker remittance: A gulf cooperation council case study
DOI:
https://doi.org/10.37134/jcit.vol7.2.2017Keywords:
Remittances, GCC, Stock of migrants, Gravity model, Middle EastAbstract
This paper examines and evaluates the macroeconomics factors driving the workers’ remittance flows from GCC countries to eight Middle East and South Asian Countries during period 1989 to 2010. The gravity model has approached to estimate remittances, utilizing a variety of panel data techniques. The estimator indicates that remittances respond more to GCC (host countries) macroeconomics activities, than to changes in the macroeconomic activities in the Middle East and South Asian Counties (home countries). The results also show the differential in the wage rates between the GCC countries and the Middle East and South Asian counties had a significant positive effect on remittance flows. However, the estimator also indicates distance was not a significant proxy to impact on the remittance flows.
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References
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country's economic conditions. Journal of International Trade and Economic Development, 15(1), 81-99.
Approach. (Discussion Paper No. 209). Governance and Economic Development Research.
Akkoyunlu, S., & Kholodilin, K.A. (2006). What affects the remittances of Turkish workers: Turkish or German?
Emerging Markets Finance & Trade, 44 (5), 23-40.
Al-Assaf, G., & Al-Malki, A.M. (2014). Modelling the macroeconomic determinants of workers' remittances: The
case of Jordan. International Journal of Economics and Financial Issues, 4 (3), 514.
Barua, S., Majumder, M.A., & Akhtaruzzaman, D.M. (2007, June 30). Determinants of workers’ remittances in
Bangladesh: An empirical study (Working Paper No. WP 0713). Policy Analysis Unit (PAU), Bangladesh Bank.
Carling, J. (2008). The determinants of migrant remittances. Oxford Review of Economic Policy, 24(3), 581-598. doi: 10.1093/oxrep/grn022
Castillo-Ponce, R.A., Torres-Preciado, V.H., & Manzanares-Rivera, J.L. (2011). Macroeconomic determinants of
remittances for a dollarized economy: The case of El Salvador. Journal of Economic Studies, 38(5), 562-576.
doi:10.1108/01443581111161823
Chowdhury, M.B. (2011). Remittances flow and financial development in Bangladesh. Economic Modelling, 28(6),
2600-2608.
Group, W.B. (2012). World Development Indicators 2012: World Bank Publications.
Guha, P. (2013). Macroeconomic effects of international remittances: The case of developing economies. Economic Modelling, 33, 292-305.
Ivlevs, A., Ziderman, A., & Constant, A. (2016). Remittances and informal work. International Journal of Manpower, 37(7).
Kapiszewski, A. (2006). Arab versus Asian migrant workers in the GCC countries, presented to the United Nations
Expert Group Meeting on International Migration and Development in the Arab Region, Beirut, Lebanon.
Khodeir, A.N. (2015). Migration remittances inflows and macroeconomic shocks: The case of Egypt. International
Journal of Economics and Financial Issues, 5(4).
Lueth, E.,& Ruiz-Arranz, M. (2006). The gravity model of workers' remittances (Working Paper No. WP/06/290).
International Monetary Fund.
Lueth, E., & Ruiz-Arranz, M. (2008). Determinants of bilateral remittance flows. The BE Journal of Macroeconomics, 8(1), 1-23.
Naufal, G.S., & Termos, A. (2009). The responsiveness of remittances to price of oil: The case of the GCC. OPEC
Energy Review, 33(3/4), 184-197. doi: 10.1111/j.1753-0237.2009.00166.x
Nnyanzi, J.B. (2016). What drives international remittances to Africa: Altruism, self-interest or the institutional
environment? African Journal of Economic and Management Studies, 7(3). doi:10.1108/AJEMS-07-2013-0067
Ratha, D., Mohapatra, S., & Silwal, A. (2009). Migration and remittance trends 2009: A better-than-expected
outcome so far, but significant risks ahead, Migration and Development Brief No. 11, Washington, DC: World
Bank.
Shah, N.M. (2006). Restrictive labour immigration policies in the oil-rich gulf: Effectiveness and implications for
sending Asian countries, presented at the UN Expert Group Meeting on International Migration and
Development in the Arab Region: Challenges and Opportunities, Beirut, Lebanon.
Taghavi, M. (2012). The impact of workers’ remittances on macro indicators: The case of the Gulf Cooperation
Council. Topics in Middle Eastern and African Economies, 14, 49-73.
Vargas-Silva, C., & Huang, P. (2006). Macroeconomic determinants of workers' remittances: Host versus home
country's economic conditions. Journal of International Trade and Economic Development, 15(1), 81-99.
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Published
2017-09-11
How to Cite
Abd. Hadi, F. S., Alnuaimi, A., & Rambeli@Ramli, N. (2017). Determining the factors that influence migrant worker remittance: A gulf cooperation council case study. Journal of Contemporary Issues and Thought, 7, 10–19. https://doi.org/10.37134/jcit.vol7.2.2017
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