To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan

Al Jaidi Nidal

doi:doi:10.11648/j.ijber.20190806.15

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To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan

Al Jaidi Nidal

Published in International Journal of Business and Economics Research (Volume 8, Issue 6)

Received: 29 January 2019 Accepted: 6 September 2019 Published: 16 October 2019

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Abstract

The magnitude of a huge number of remittances which comes from individuals or from foreign direct investments that flow on the economies of developing countries during the last few decades cannot be ignored, and especially on Jordanian macroeconomic, where it is not considered as an industrial or oil country, but it is characterized by a human resources wealth. The revenues of these resources are considered to be one of the main pillars on the Jordanian economy. While, these human resources divided into two parts, some of them tend or choose to work inside the country and others tend to work abroad. On another level, The Kingdom of Jordan seeks to attract the foreign investment despite of some obstacles and conditions. Hence, the problem stems from the extent of the impact of migration revenues and foreign direct investment on Jordanian economic growth. So this study will examines the effects of remittances and FDI on the growth of Jordanian GDP using a time series data during 1980-2015, and then assess the relative importance and the interaction of both. The result of this study showed a long-run relationship of the impact of remittances and the foreign direct investment on gross domestic product growth. Whereas, the impact of foreign direct investment is greater than the impact remittances on GDP, while the study found a lack of causality between these variables in the short-term period.

Published in	International Journal of Business and Economics Research (Volume 8, Issue 6)
DOI	10.11648/j.ijber.20190806.15
Page(s)	364-368
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2019. Published by Science Publishing Group

Keywords

Jordan, Remittances, Economic Growth, Migrant, Foreign Direct Investment, Gross Domestic Product

References

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[2]	D. Peković, "The effects of remittances on poverty alleviation in transition countries," Journal of International Studies, vol. 10, pp. 37-46, 2017.
[3]	S. Tabit, and C. Moussir, "The Impact of Migrants' Remittances on economic Growth: Case of Morocco," International Journal of Innovation and Applied Studies, vol. 20, pp. 226-233, 2017.
[4]	S. Abdelhadi, and A. Bashayreh, "Remittances and Economic Growth Nexus: Evidence from Jordan," International Journal of Business and Social Science, vol. 8, pp. 98-102, 2017.
[5]	D. Uprety, "The Impact of Remittances on Economic Growth in Nepal," Journal of Development Innovations, vol. 1, pp. 114-134, 2017.
[6]	D. Uprety, and K. Sylwester, "The Effect of Remittances upon Skilled Emigration: an empirical study," Journal of economic development, vol. 42, pp. 1-16, 2017.
[7]	T. Tolcha, and P. Rao, "The Impact of Remittances on economic Growth in Ethiopia," Indian Journal of Commerce & Management Studies, vol. 20, pp. 01-15, 2016.
[8]	O. Fayomi, D. Azuh, and L. Ajayi " The Impacts of Remittances on Nigeria’s Economic Growth: A Study of Nigerian Diasporas in Ghana," Journal of South African Business Research, Vol. 2015, Article ID 598378, DOI: 10.5171/2015.598378, 2015.
[9]	Bloushoutzi, and C. Nikas, "Emigrants' Remittances and economic growth in small transition economies: the case of Maldova and Albania," Journal of Economics and Business, vol. XVII, pp. 97-117, 2014.
[10]	M. Shafqat, A. Ahmadm andS. Bano, "mpact of Worker Remittances on Economic Growth of Pakistan: Analysis of Pakistan’s Economy," Journal of Business research Turk, vol. 6, pp. 6-14, 2014.
[11]	Belmimoun, M. Kerbouche, L. Abouka, and R. Mokeddem, "The Impact of Migrants` Remittances on Economic Growth Empirical study: case of Algeria," European Scientific Journal, vol. 10, pp. 364-378, 2014.
[12]	D. Ratha, "The Impact of Remittances on economic Growth and Poverty Reduction," Migration Policy Institution, vol. 15, pp. 1-14, 2013.
[13]	D. Akonji, and A. Wakili, "The Impact of net Migrant Remittance on economic growth: Evidence from Nigeria," International Journal of Humanities and Social Science, vol. 3, pp. 303-315, 2013.
[14]	K. Imai, R. Gaiha, A. Ali, and N. Kaicker, "Remittances Growth and Poverty: New evidence from Asian countries" International fund for agricultural Development, pp. 1-35, 2012.
[15]	G. Hassan, S. Shakur, and M. Bhuyan, "Nonlinear Growth effect of remittances in recipient countries: An econometric analysis of remittances-growth nexus in Bangladesh" Annual NZAE Conference of New Zealand Association of Economists, pp. 1-35, 2012.
[16]	A. Cooray, "The Impact of Migrant remittances on Economic growth: evidence from south Asia" Review of international economics,"vol. 20, pp. 985-998, 2012.
[17]	M. Goldberg, M. and Levi, "The Impact of Remittances on Economic Growth" Mastercard worldwide insights, pp. 1-21, 2008.
[18]	A. Culiuc, "Integrating migration and remittances into a development strategy, The case of Moldova" Master thesis at Harvard University, pp. 1-49, 2006.
[19]	M. El-Sakka, "Migrant Workers’ Remittances and Macroeconomic Policy in Jordan" Department of Economics, Kuwait University, available at www.semanticscholar.org, pp. 1-22, 2005.

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APA Style

Al Jaidi Nidal. (2019). To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. International Journal of Business and Economics Research, 8(6), 364-368. https://doi.org/10.11648/j.ijber.20190806.15

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ACS Style

Al Jaidi Nidal. To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. Int. J. Bus. Econ. Res. 2019, 8(6), 364-368. doi: 10.11648/j.ijber.20190806.15

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AMA Style

Al Jaidi Nidal. To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. Int J Bus Econ Res. 2019;8(6):364-368. doi: 10.11648/j.ijber.20190806.15

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@article{10.11648/j.ijber.20190806.15,
  author = {Al Jaidi Nidal},
  title = {To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan},
  journal = {International Journal of Business and Economics Research},
  volume = {8},
  number = {6},
  pages = {364-368},
  doi = {10.11648/j.ijber.20190806.15},
  url = {https://doi.org/10.11648/j.ijber.20190806.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20190806.15},
  abstract = {The magnitude of a huge number of remittances which comes from individuals or from foreign direct investments that flow on the economies of developing countries during the last few decades cannot be ignored, and especially on Jordanian macroeconomic, where it is not considered as an industrial or oil country, but it is characterized by a human resources wealth. The revenues of these resources are considered to be one of the main pillars on the Jordanian economy. While, these human resources divided into two parts, some of them tend or choose to work inside the country and others tend to work abroad. On another level, The Kingdom of Jordan seeks to attract the foreign investment despite of some obstacles and conditions. Hence, the problem stems from the extent of the impact of migration revenues and foreign direct investment on Jordanian economic growth. So this study will examines the effects of remittances and FDI on the growth of Jordanian GDP using a time series data during 1980-2015, and then assess the relative importance and the interaction of both. The result of this study showed a long-run relationship of the impact of remittances and the foreign direct investment on gross domestic product growth. Whereas, the impact of foreign direct investment is greater than the impact remittances on GDP, while the study found a lack of causality between these variables in the short-term period.},
 year = {2019}
}

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TY  - JOUR
T1  - To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan
AU  - Al Jaidi Nidal
Y1  - 2019/10/16
PY  - 2019
N1  - https://doi.org/10.11648/j.ijber.20190806.15
DO  - 10.11648/j.ijber.20190806.15
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 364
EP  - 368
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20190806.15
AB  - The magnitude of a huge number of remittances which comes from individuals or from foreign direct investments that flow on the economies of developing countries during the last few decades cannot be ignored, and especially on Jordanian macroeconomic, where it is not considered as an industrial or oil country, but it is characterized by a human resources wealth. The revenues of these resources are considered to be one of the main pillars on the Jordanian economy. While, these human resources divided into two parts, some of them tend or choose to work inside the country and others tend to work abroad. On another level, The Kingdom of Jordan seeks to attract the foreign investment despite of some obstacles and conditions. Hence, the problem stems from the extent of the impact of migration revenues and foreign direct investment on Jordanian economic growth. So this study will examines the effects of remittances and FDI on the growth of Jordanian GDP using a time series data during 1980-2015, and then assess the relative importance and the interaction of both. The result of this study showed a long-run relationship of the impact of remittances and the foreign direct investment on gross domestic product growth. Whereas, the impact of foreign direct investment is greater than the impact remittances on GDP, while the study found a lack of causality between these variables in the short-term period.
VL  - 8
IS  - 6
ER  -

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Author Information

Al Jaidi Nidal

Department of Business Economics, Business School, University of Jordan, Amman, Jordan

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Plain Text BibTeX RIS

APA Style

Al Jaidi Nidal. (2019). To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. International Journal of Business and Economics Research, 8(6), 364-368. https://doi.org/10.11648/j.ijber.20190806.15

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ACS Style

Al Jaidi Nidal. To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. Int. J. Bus. Econ. Res. 2019, 8(6), 364-368. doi: 10.11648/j.ijber.20190806.15

Copy | Download

AMA Style

Al Jaidi Nidal. To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan. Int J Bus Econ Res. 2019;8(6):364-368. doi: 10.11648/j.ijber.20190806.15

Copy | Download

@article{10.11648/j.ijber.20190806.15,
  author = {Al Jaidi Nidal},
  title = {To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan},
  journal = {International Journal of Business and Economics Research},
  volume = {8},
  number = {6},
  pages = {364-368},
  doi = {10.11648/j.ijber.20190806.15},
  url = {https://doi.org/10.11648/j.ijber.20190806.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20190806.15},
  abstract = {The magnitude of a huge number of remittances which comes from individuals or from foreign direct investments that flow on the economies of developing countries during the last few decades cannot be ignored, and especially on Jordanian macroeconomic, where it is not considered as an industrial or oil country, but it is characterized by a human resources wealth. The revenues of these resources are considered to be one of the main pillars on the Jordanian economy. While, these human resources divided into two parts, some of them tend or choose to work inside the country and others tend to work abroad. On another level, The Kingdom of Jordan seeks to attract the foreign investment despite of some obstacles and conditions. Hence, the problem stems from the extent of the impact of migration revenues and foreign direct investment on Jordanian economic growth. So this study will examines the effects of remittances and FDI on the growth of Jordanian GDP using a time series data during 1980-2015, and then assess the relative importance and the interaction of both. The result of this study showed a long-run relationship of the impact of remittances and the foreign direct investment on gross domestic product growth. Whereas, the impact of foreign direct investment is greater than the impact remittances on GDP, while the study found a lack of causality between these variables in the short-term period.},
 year = {2019}
}

Copy | Download

TY  - JOUR
T1  - To What Extend do the Migrant's Remittances Affect on the Economic Growth in Jordan
AU  - Al Jaidi Nidal
Y1  - 2019/10/16
PY  - 2019
N1  - https://doi.org/10.11648/j.ijber.20190806.15
DO  - 10.11648/j.ijber.20190806.15
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 364
EP  - 368
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20190806.15
AB  - The magnitude of a huge number of remittances which comes from individuals or from foreign direct investments that flow on the economies of developing countries during the last few decades cannot be ignored, and especially on Jordanian macroeconomic, where it is not considered as an industrial or oil country, but it is characterized by a human resources wealth. The revenues of these resources are considered to be one of the main pillars on the Jordanian economy. While, these human resources divided into two parts, some of them tend or choose to work inside the country and others tend to work abroad. On another level, The Kingdom of Jordan seeks to attract the foreign investment despite of some obstacles and conditions. Hence, the problem stems from the extent of the impact of migration revenues and foreign direct investment on Jordanian economic growth. So this study will examines the effects of remittances and FDI on the growth of Jordanian GDP using a time series data during 1980-2015, and then assess the relative importance and the interaction of both. The result of this study showed a long-run relationship of the impact of remittances and the foreign direct investment on gross domestic product growth. Whereas, the impact of foreign direct investment is greater than the impact remittances on GDP, while the study found a lack of causality between these variables in the short-term period.
VL  - 8
IS  - 6
ER  -

Copy | Download