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Relationship Between Remittances and Economic Growth: Evidence from Southeast European Developing Countries

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Economic Recovery, Consolidation, and Sustainable Growth (ISCBE 2023)

Part of the book series: Springer Proceedings in Business and Economics ((SPBE))

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Abstract

For developing countries, remittances are an important source of external financing. Remittances show how well managing employment migration can contribute to a country's development and have an impact on poverty eradication. The purpose of this study is to investigate the impact of migrant remittances on economic growth by examining data from nine developing countries in Southeast Europe from 2008 to 2019. The data used are panel data and cover 12 years and using several models and econometric analyses to determine the relationship between these factors. The technique is based on these five econometric regression models to achieve better-quality results. Models used for econometric analysis include OLS, OLS Robust, fixed effect, random effect, and generalized method of moments (GMM). For the interpretation of the results, the generalized method of moments GMM was selected as the most suitable method. According to the results of this study, there is a positive and statistically significant relationship between remittances and economic development in the countries and periods studied.

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Author information

Authors and Affiliations

  1. Faculty of Business and Economics, Southeast European University, Tetovo, North Macedonia

    Krenare Shahini Gollopeni & Hyrije Abazi Alili

Authors
  1. Krenare Shahini Gollopeni
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  2. Hyrije Abazi Alili
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Corresponding author

Correspondence to Hyrije Abazi Alili .

Editor information

Editors and Affiliations

  1. Faculty of Business and Economics, South East European University, Tetovo, North Macedonia

    Abdylmenaf Bexheti

  2. Faculty of Business and Economics, South East European University, Tetovo, North Macedonia

    Hyrije Abazi-Alili

  3. Ecole de Commerce Paris—ICD Business School, Groupe IGS, Paris, France

    Léo-Paul Dana

  4. Faculty of Business and Economics, South East European University, Tetovo, North Macedonia

    Veland Ramadani

  5. Department of Economics and Management, University of Trento, Trento, Italy

    Andrea Caputo

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Gollopeni, K.S., Alili, H.A. (2023). Relationship Between Remittances and Economic Growth: Evidence from Southeast European Developing Countries. In: Bexheti, A., Abazi-Alili, H., Dana, LP., Ramadani, V., Caputo, A. (eds) Economic Recovery, Consolidation, and Sustainable Growth. ISCBE 2023. Springer Proceedings in Business and Economics. Springer, Cham. https://doi.org/10.1007/978-3-031-42511-0_10

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