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The Effect of International Remittances on Economic Growth in Sub-Saharan Africa

Title: The Effect of International Remittances on Economic Growth in Sub-Saharan Africa

Master's Thesis , 2021 , 75 Pages , Grade: 3.75 (good)

Autor:in: Gashaw Atilaw (Author)

Economics - Economic Cycle and Growth
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Summary Excerpt Details

This paper is about the effect of international remittances of economic growth in sub-Saharan Africa.

For many developing economies, remittances constitute the single largest source of foreign exchange, exceeding export revenues, foreign direct investment (FDI), and other private capital inflows.

This study aims to examine the effect of international remittances on economic growth in SSA countries using a panel data approach. The System Generalized Method of Moments was used as the main model of analysis. The sample consists of 29 SSA countries for the period 2004-2019.

The study findings show that international remittance has a positive and significant effect on economic growth in SSA. The study recommends that SSA countries should be designing policies and strategies that facilitate less costly and hassle-free flow of remittances into national development. There is a need to have well-established institutional frameworks to train, support, and ensure the welfare of emigrants abroad by the provision of information or services to assist migrant welfare and promote remittances and investment in the home country.

Excerpt


Inhaltsverzeichnis (Table of Contents)

  • INTRODUCTION
    • Background of the Study
    • Problem Statement
    • Research questions
    • Hypothesis
    • Objectives
    • Significance of the Study
    • Scope of the Study
    • Limitation of the Study
    • Organization of the Research Report
  • LITERATURE REVIEW
    • Definitions of Remittance
    • Theories of Remittance
      • Developmental Pessimistic Structuralism Theory
      • Developmental-Remittance Pluralist Theory-Optimistic view
      • Theories of Motives for a Migrant to Remit
    • Economic Growth Theories
      • The Harrod-Domar Model
      • The Solow Model
      • The Endogenous Growth Model
    • Empirical Literature
      • Economic Growth effects of remittances
      • Economic growth effects of control Variables
    • Conceptual Framework
  • RESEARCH METHODOLOGY
    • Data type and source
    • Methods of Data Analysis
    • Model Specification
    • Definition of variables and Priori Expectations
    • Diagnostic Tests
  • RESULT AND DISCUSSIONS
    • Descriptive Analysis
    • Econometrics Analysis
      • Diagnostic tests Results
      • Dynamic Panel Analysis

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This thesis examines the impact of international remittances on economic growth in sub-Saharan Africa, utilizing panel data analysis. The research aims to assess the relationship between remittance inflows and economic growth, considering factors like human capital, infrastructure, and institutional quality.

  • The impact of international remittances on economic growth in sub-Saharan Africa
  • The role of remittances in promoting economic development
  • The relationship between remittances and key economic indicators
  • The influence of various control variables on economic growth
  • The application of econometric techniques for analyzing panel data

Zusammenfassung der Kapitel (Chapter Summaries)

  • Introduction: This chapter provides background information on the study, outlining the problem statement, research questions, hypotheses, objectives, significance, scope, limitations, and organization of the research report. It emphasizes the importance of remittances in sub-Saharan Africa and highlights the need for a comprehensive study to understand their impact on economic growth.
  • Literature Review: This chapter delves into existing literature on remittances and economic growth, providing definitions of remittances, theories explaining remittance behavior, and different models of economic growth. It reviews empirical studies exploring the relationship between remittances and economic growth, focusing on both positive and negative effects.
  • Research Methodology: This chapter outlines the research methodology employed in the study, including the data type and source, methods of data analysis, model specification, definition of variables and their expected associations, and diagnostic tests to ensure the reliability and validity of the results.
  • Result and Discussions: This chapter presents the results of the analysis, both descriptive and econometric. It discusses the findings of the study, exploring the relationship between remittances and economic growth in sub-Saharan Africa and analyzing the influence of other control variables.

Schlüsselwörter (Keywords)

This thesis explores the impact of international remittances on economic growth in sub-Saharan Africa using panel data analysis. Key terms and concepts include remittances, economic growth, human capital, infrastructure, institutional quality, panel data, econometric analysis, and sub-Saharan Africa.

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Details

Title
The Effect of International Remittances on Economic Growth in Sub-Saharan Africa
College
Ethiopian Civil Service University
Grade
3.75 (good)
Author
Gashaw Atilaw (Author)
Publication Year
2021
Pages
75
Catalog Number
V1268390
ISBN (PDF)
9783346715050
ISBN (Book)
9783346715067
Language
English
Tags
remittance sub-Saharan Africa economic growth system GMM
Product Safety
GRIN Publishing GmbH
Quote paper
Gashaw Atilaw (Author), 2021, The Effect of International Remittances on Economic Growth in Sub-Saharan Africa, Munich, GRIN Verlag, https://www.grin.com/document/1268390
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Excerpt from  75  pages
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