Title:

Nigeria’s economic growth: do remittance inflows really matter?

Group publication title:

Argumenta Oeconomica

Creator:

Eigbiremolen, God’stime Osekhebhen ; Nnetu, Vivian Ikwuoma

Subject and Keywords:

Dynamics ; economic growth ; endogeneity ; instruments ; remittance inflows ; 2SLS

Description:

Argumenta Oeconomica, 2015, Nr 2 (35), s. 67-84

Abstrakt:

Using quarterly data from 1977-2012, this study examines the role of remittance inflows on economic growth in Nigeria. Unlike most previous studies, we address the problem of endogeneity of the remittance variable. The pattern of remittance inflows within the periods under review suggests that the effect of remittance might not be the same across time periods, and a standard empirical test confirms this dynamic. Ignoring this dynamic, a pooled model reveals that remittance inflows have no effect on economic growth. However, when we account for the dynamics and estimate separate models accordingly, allowing for the effect of remittance to vary across sub-periods, we find that the positive effect of remittance inflows was not only marginally bigger when compared to the pooled model, but it also became important for economic growth. Though relevant for growth, it is worth noting that remittance is not yet a major source of economic growth as the effect is still quite marginal

Publisher:

Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu

Place of publication:

Wrocław

Date:

2015

Resource Type:

artykuł

Format:

application/pdf

Resource Identifier:

doi:10.15611/aoe.2015.2.04

Language:

eng

Relation:

Argumenta Oeconomica, 2015, Nr 2 (35)

Rights:

Wszystkie prawa zastrzeżone (Copyright)

Access Rights:

Dla wszystkich w zakresie dozwolonego użytku

Location:

Uniwersytet Ekonomiczny we Wrocławiu