Do Remittances Promote Economic Growth? New Evidence from India

Journal article


Ghosh Dastidar, S. and Apergis, N 2022. Do Remittances Promote Economic Growth? New Evidence from India . Economic Issues. 27 (1), pp. 11-37.
AuthorsGhosh Dastidar, S. and Apergis, N
Abstract

This study investigates the empirical relationship between remittances and economic growth of India, placing special attention on the non-linearity of this association. Previous studies on India have ignored the non-linear nature of the remittance-growth nexus. The study employs methods from the ARDL model framework to explore the non-linearity and establishes that remittances do not exhibit any growth effect in lower quantiles and up to 0.50, but the impact increases monotonically, getting more pronounced as the quantile increases. In other words, inward remittances must exceed a threshold to start affecting economic growth positively. It is argued that this behaviour of the remittances is the consequence of a combination of factors like patterns of utilisation (or, misutilisation) of the receipts, India’s trade balance, a weak industrial sector, the lack of entrepreneurial opportunities, the lack of financial inclusion, and the exploitation of poor migrant workers.

KeywordsRemittances; Economic Growth; India; time series analysis
Year2022
JournalEconomic Issues
Journal citation27 (1), pp. 11-37
PublisherNottingham Trent University
ISSN1363-7029
Web address (URL)http://www.economicissues.org.uk/index.html
http://www.economicissues.org.uk/Vol27.html#a2
Accepted author manuscript
License
File Access Level
Open
Output statusPublished
Publication dates
OnlineMar 2022
Publication process dates
Accepted2021
Deposited13 Jun 2022
Permalink -

https://repository.derby.ac.uk/item/956w0/do-remittances-promote-economic-growth-new-evidence-from-india

Download files


Accepted author manuscript
SGD NA 2022 Economic Issues.pdf
License: CC BY-NC-ND 4.0
File access level: Open

  • 273
    total views
  • 152
    total downloads
  • 11
    views this month
  • 1
    downloads this month

Export as

Related outputs

Local stock liquidity and local factors: fresh evidence from US firms across states
Apergis, N. and Ghosh Dastidar, S. 2023. Local stock liquidity and local factors: fresh evidence from US firms across states. Research in International Business and Finance. 67, pp. 1-15. https://doi.org/10.1016/j.ribaf.2023.102112
Are Environmental Taxes effective in curbing Air Pollution? Evidence from the United Kingdom
Basu Roy, Sharanya and Ghosh Dastidar, Sayantan 2021. Are Environmental Taxes effective in curbing Air Pollution? Evidence from the United Kingdom. Economic Issues.
An analysis of the impact of unconventional oil and gas activities on public health: New evidence across Oklahoma counties
Apergis, Nicholas, Mustafa, Ghulam and Ghosh Dastidar, Sayantan 2021. An analysis of the impact of unconventional oil and gas activities on public health: New evidence across Oklahoma counties. Energy Economics. https://doi.org/10.1016/j.eneco.2021.105223
The determinants of aggregate fluctuations: The role of firm‐borrowing channels
Ghosh Dastidar, Sayantan and Apergis, Nicholas 2021. The determinants of aggregate fluctuations: The role of firm‐borrowing channels. The Manchester School. pp. 1-29. https://doi.org/10.1111/manc.12385
Holidays and economic growth: Evidence from a panel of Indian states
Ghosh Dastidar, Sayantan and Apergis, Nicholas 2021. Holidays and economic growth: Evidence from a panel of Indian states. Economics of Transition and Institutional Change. https://doi.org/10.1111/ecot.12282
Fracking and asset prices: The role of health indicators for house prices across Oklahoma’s counties
Apergis, Nicholas, Ghosh Dastidar, Sayantan and Mustafa, Ghulam 2020. Fracking and asset prices: The role of health indicators for house prices across Oklahoma’s counties. Social Indicators Research. https://doi.org/10.1007/s11205-020-02544-z
Determinants of public education expenditure: evidence from Indian states.
Chatterji, Monojit, Mohan, Sushil and Ghosh Dastidar, Sayantan 2015. Determinants of public education expenditure: evidence from Indian states. International Journal of Education Economics and Development. https://doi.org/10.1504/IJEED.2015.068355
The Indian film industry in a changing international market.
Ghosh Dastidar, Sayantan and Elliott, Caroline 2019. The Indian film industry in a changing international market. Journal of Cultural Economics. https://doi.org/10.1007/s10824-019-09351-6
Finance and growth: Evidence from South Asia
Patra, Sudip and Ghosh Dastidar, Sayantan 2018. Finance and growth: Evidence from South Asia. Jindal Journal of Business Research. https://doi.org/10.1177/2278682118761747
Why do men rape? Understanding the determinants of rapes in India.
Basu Roy, Sharanya and Ghosh Dastidar, Sayantan 2018. Why do men rape? Understanding the determinants of rapes in India. Third World Quarterly. https://doi.org/10.1080/01436597.2018.1460200
Impact of remittances on economic growth in developing countries: The role of openness
Ghosh Dastidar, Sayantan 2017. Impact of remittances on economic growth in developing countries: The role of openness. Global Economy Journal. https://doi.org/10.1515/gej-2016-0066
Derby car parking review
Ghosh Dastidar, Sayantan and Lynch, Nicola 2017. Derby car parking review.
Manufacturing and trade liberalisation of India: The continuing debate
Ghosh Dastidar, Sayantan 2015. Manufacturing and trade liberalisation of India: The continuing debate. Review of Development and Change.