Remittances and Economic Growth

2020 ◽  
pp. 325-343
Author(s):  
Mustafe Pllana ◽  
Aida Tmava
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Aggregate Demand ◽  
Trade Deficit ◽  
Financial Capital ◽  
Foreign Direct Investments ◽  
Per Capita Gdp ◽  
Goods And Services ◽  
Multiplicative Effect ◽  
Per Capita

Economic growth has become an important study growth matter. By economists economic growth is defined as capital stock growth, rising per capita GDP, increased access for manufactured goods and services for consumption and so on. In economic growth affect several factors and policies. Corruption, lack of investment, inappropriate institutions, inappropriate education etc. are some of obstacles to economic development. Consumption and investment are important components of aggregate demand with multiplicative effect in development. Remittances of migrants are significant potential financial capital used for investments, reflected in economic development and social prosperity. Remittances in Kosovo since 1960 have always been increasing. Participation of remittances to GDP in Kosovo in 2010 is about 12%. Remittances are the highest contributor to the Kosovo trade deficit coverage and are higher than foreign direct investments. Remittances unfortunately for various reasons are not exploited and are not sufficiently exploited for economic development.

Remittances and Economic Growth

2016 ◽  
Vol 5 (4) ◽  
pp. 47-64
Author(s):  
Mustafe Pllana ◽  
Aida Tmava
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Aggregate Demand ◽  
Trade Deficit ◽  
Financial Capital ◽  
Foreign Direct Investments ◽  
Goods And Services ◽  
Multiplicative Effect ◽  
Important Study ◽  
Per Capita

Economic growth has become an important study growth matter. By economists economic growth is defined as capital stock growth, rising per capita GDP, increased access for manufactured goods and services for consumption and so on. In economic growth affect several factors and policies. Corruption, lack of investment, inappropriate institutions, inappropriate education etc. are some of obstacles to economic development. Consumption and investment are important components of aggregate demand with multiplicative effect in development. Remittances of migrants are significant potential financial capital used for investments, reflected in economic development and social prosperity. Remittances in Kosovo since 1960 have always been increasing. Participation of remittances to GDP in Kosovo in 2010 is about 12%. Remittances are the highest contributor to the Kosovo trade deficit coverage and are higher than foreign direct investments. Remittances unfortunately for various reasons are not exploited and are not sufficiently exploited for economic development.

scholarly journals IMPACT OF MONETARY AND NON-MONETARY FACTORS ON ECONOMIC DEVELOPMENT OF THE BALTIC COUNTRIES

2017 ◽  
pp. 117-123
Author(s):  
V. Goliuk
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Strong Relationship ◽  
Added Value ◽  
Foreign Direct Investments ◽  
Factors Affecting ◽  
Goods And Services ◽  
Baltic Countries ◽  
The Baltic ◽  
The Impact

The aim of the paper is to identify the factors affecting economic growth of Baltic countries. Correlation analysis has been exploited to analyze the impact of both monetary and non-monetary factors on gross domestic product dynamics of Estonia, Latvia and Lithuania. The research results show that the most strong relationship in these three countries is observed between GDP dynamics and the following variables: domestic credit provided by financial sector, exports of goods and services including high-technology exports, official exchange rate, household final consumption expenditure, unemployment and real interest rate. The findings of the study indicate that inflation is related to GDP dynamics only in Latvia, foreign direct investments are associated to GDP only in Estonia. Especial role in economic development of these states belongs to export diversification. Companies diversified their product ranges switching to high added value products. Development of new branches and new markets, especially in Euro zone made sufficient impact on economic development of “Baltic Tigers”. Thus, both monetary and non-monetary factors had impact on economic growth of these states.

scholarly journals economic development

2019 ◽  
Author(s):  
cut jussara mufda
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Income Distribution ◽  
Gross Domestic Product ◽  
Distribution System ◽  
Living Standards ◽  
Gdp Per Capita ◽  
Domestic Product ◽  
Goods And Services ◽  
Per Capita

The cause of economic growth but not followed by the improvement of the income distribution system is because economic growth is measured by an increase in GDP (Gross Gross Domestic Product), namely the number of products in the form of goods and services produced within a country's territory in one year.Gross Domestic Product is always considered to be an indicator or determinant of living standards in a country. Therefore it is necessary to calculate GDP per capita. The calculation of Indonesia's GDP is carried out every year and always changes. The amount of GDP in Indonesia in 2016 is approximately 3,604 per capita and in 2018 it has decreased to 3,788 per capita after 2017 has increased to 3,875 per capita.Economic growth in Indonesia continues to increase along with the 4 components above which continue to be improved. Because GDP is a standard that has become a benchmark for economic growth, the 4 components that are continually being improved also encourage economic growth in Indonesia. This can be seen from 2019 Indonesia's GDP which increased compared to 2018. Investment that continues to increase then also increases GDP per capita in Indonesia in 2019.

scholarly journals Trade Liberalization and Economic Development: Evidence from Pakistan

2006 ◽  
Vol 11 (1) ◽  
pp. 19-34 ◽  
Author(s):  
Bushra Yasmin ◽  
Zainab Jehan ◽  
Muhammad Ali Chaudhary
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Trade Liberalization ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Simultaneous Equation Model ◽  
Per Capita Gdp ◽  
Mediating Factors ◽  
The World ◽  
Per Capita

Unrestricted trade stimulates economic growth and bridges socio-economic gaps existing in different countries of the world. Pakistan has adopted trade liberalization policies since the late 1980s with the same expectations. This study has empirically analyzed how trade liberalization has affected economic development in the country. Its effects have been examined with respect to four measures of economic development: per capita GDP, income inequality, poverty and employment over the period from 1960-2003. The main analysis is based on a simultaneous equation model. Keeping in view the simultaneity of the chosen development measures, the model is estimated with the 2SLS technique of regression analysis. The analysis shows that, over the study period, trade liberalization has not affected all the chosen indicators of development uniformly. It has affected employment positively but per capita GDP and income distribution negatively. However, it has not affected poverty in any way. The obvious message is that trade liberalization has not affected all the indicators of development favorably in Pakistan. It thus implies the need of a cautious move towards liberalization. The focus of trade liberalization should be to bring about improvement in the performance of mediating factors and to focus exports on labor-intensive products.

scholarly journals Decoupling of Carbon Emissions from Economic Growth: An Empirical Analysis Based on 264 Prefecture-Level Cities in China

2021 ◽  
Author(s):  
Wenmei KANG ◽  
Benfan LIANG ◽  
Keyu XIA ◽  
Fei XUE ◽  
Yu LI
Keyword(s):  
Economic Growth ◽  
Carbon Dioxide ◽  
Economic Development ◽  
Carbon Emissions ◽  
Carbon Dioxide Emissions ◽  
Industrial Structure ◽  
Low Carbon ◽  
Per Capita Gdp ◽  
Plan Period ◽  
Per Capita

After setting the goal of peaking carbon emissions before 2030 and achieving carbon neutrality before 2060, it has become an irresistible trend for China to decouple carbon emissions from its economic growth. Since cities play a central role in reducing carbon emissions, the issues such as whether and when their carbon dioxide emissions can be decoupled from economic growth have become the focus of attention. Based on the carbon dioxide emissions of 264 prefecture-level cities in China from 2000 to 2017, this paper uses the Tapio decoupling index to measure the decoupling relationship between carbon emissions and economic growth of cities, analyzes the space–time evolution characteristics of carbon emissions and decoupling indexes by stages, and explores the relationship between carbon emissions and socio-economic development characteristics such as per capita GDP and industrial structure. The main conclusions drawn therefrom are as follows: (i) From 2000 to 2017, the city-wide carbon emissions rose from 2.484 billion tons in 2000 to 7.462 billion tons in 2017, registering a total increase of 200.40%. But the growth rate of carbon emissions within cities has been significantly reduced. (ii) As years passed by, the number of cities that achieved strong decoupling saw a significant increase, from zero in the 10th–11th Five-Year Plan period to 14 in the 12th Five-Year Plan period and the first two years of the 13th Five-Year Plan period, accounting for 5.3% of the total number of cities. (iii) There is an inverted U-shaped curve relationship between per capita carbon emissions and per capita GDP, which is consistent with the EKC curve hypothesis, but Chinese cities are still in the growth stage of the quadratic curve currently. The correlation between per capita CO2 emission and the proportion of the secondary industry was positive. The results of this study are expected to provide experience for the low-carbon development of cities in China and other developing countries, and provide references for the formulation and evaluation of policies and measures related to low-carbon economic development based on the decoupling model.

scholarly journals Changes of inward and outward FDI stocks in Poland and the stage of the investment development path

2019 ◽  
pp. 41-60
Author(s):  
Aneta Kosztowniak
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Structural Changes ◽  
Development Stage ◽  
Gdp Per Capita ◽  
Gdp Growth ◽  
Foreign Direct Investments ◽  
Outward Fdi ◽  
Development Path ◽  
Per Capita

The aim of the paper is to analyze changes of inward and outward foreign direct investments (FDI) stocks in Poland in the years 1994–2016 in the field of the theory of J. H. Dunning`s investment development path (IDP). The following research hypothesis was adopted: If a persistent reduction of net outward FDI stock (NOI) to 0 is accompanied by economic growth (GDP growth, GDP per capita, structural changes in the economy), then it will be possible to achieve stage 3 of the IDP.The results of empirical research indicate that the changes of NOI accompanying economic development in 1994–2016 were insufficient to confirm full advancement of IDP stage 3 in Poland. We do not observe a definite change in the NOI and economic development stage from stage 2 to 3. Nevertheless, we can support that some changes occur that prove that the economy is at the beginning of stage 3, as the following symptoms are observed: a drop in the levels of NOI, NOI per capita and an increase in the outward performance index (OPI). Considering that stages 1 and 2 continued nearly for 10 years each, the confirmation of stage 3 is likely after 2022. Then we will have empirical data for the period 2013–2022.

Railroad Integration and Uneven Development on the European Periphery, 1870–1910

2021 ◽  
Vol 45 (2) ◽  
pp. 261-289
Author(s):  
Eduard J. Alvarez-Palau ◽  
Alfonso Díez-Minguela ◽  
Jordi Martí-Henneberg
Keyword(s):  
Economic Development ◽  
Positive Impact ◽  
Data Set ◽  
Per Capita Gdp ◽  
Catching Up ◽  
Nation States ◽  
Railroad Network ◽  
Per Capita ◽  
European Periphery ◽  
The Relationship

AbstractThis study explores the relationship between railroad integration and regional development on the European periphery between 1870 and 1910, based on a regional data set including 291 spatial units. Railroad integration is proxied by railroad density, while per capita GDP is used as an indicator of economic development. The period under study is of particular relevance as it has been associated with the second wave of railroad construction in Europe and also coincides with the industrialization of most of the continent. Overall, we found that railroads had a significant and positive impact on the growth of per capita GDP across Europe. The magnitude of this relationship appears to be relatively modest, but the results obtained are robust with respect to a number of different specifications. From a geographical perspective, we found that railroads had a significantly greater influence on regions located in countries on the northern periphery of Europe than in other outlying areas. They also helped the economies of these areas to begin the process of catching up with the continent’s industrialized core. In contrast, the regions on the southern periphery showed lower levels of economic growth, with this exacerbating the preexisting divergence in economic development. The expansion of the railroad network in them was unable to homogenize the diffusion of economic development and tended to further benefit the regions that were already industrialized. In most of the cases, the capital effect was magnified, and this contributed to the consolidation of newly created nation-states.

scholarly journals Impact of unemployment and income on entrepreneurship in post-apartheid South Africa: 1994–2015

2018 ◽  
Vol 10 (1) ◽  
Author(s):  
Darma Mahadea ◽  
Irrshad Kaseeram
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Employment Growth ◽  
Positive Impact ◽  
Early Stage ◽  
National Development ◽  
Entrepreneurial Activity ◽  
Per Capita Gdp ◽  
Per Capita ◽  
The Impact

Background: South Africa has made significant progress since the dawn of democracy in 1994. It registered positive economic growth rates and its real gross domestic product (GDP) per capita increased from R42 849 in 1994 to over R56 000 in 2015. However, employment growth lagged behind GDP growth, resulting in rising unemployment. Aim and setting: Entrepreneurship brings together labour and capital in generating income, output and employment. According to South Africa’s National Development Plan, employment growth would come mainly from small-firm entrepreneurship and economic growth. Accordingly, this article investigates the impact unemployment and per capita income have on early stage total entrepreneurship activity (TEA) in South Africa, using data covering the 1994–2015 period. Methods: The methodology used is the dynamic least squares regression. The article tests the assertion that economic growth, proxied by real per capita GDP income, promotes entrepreneurship and that high unemployment forces necessity entrepreneurship. Results: The regression results indicate that per capita real GDP, which increases with economic growth, has a highly significant, positive impact on entrepreneurial activity, while unemployment has a weaker effect. A 1% rise in real per capita GDP results in a 0.16% rise in TEA entrepreneurship, and a 1% rise in unemployment is associated with a 0.25% rise in TEA. Conclusion: There seems to be a strong pull factor, from income growth to entrepreneurship and a reasonable push from unemployment to entrepreneurship, as individuals without employment are forced to self-employment as a necessity, survival mechanism. Overall, a long-run co-integrating relationship seems plausible between unemployment, income and entrepreneurship in South Africa.

scholarly journals Impact of Public Debt on the Economic Growth of Pakistan.

2011 ◽  
Vol 50 (4II) ◽  
pp. 599-615 ◽  
Author(s):  
Naeem Akram
Keyword(s):  
Economic Growth ◽  
Public Debt ◽  
Negative Relationship ◽  
Private Investment ◽  
Crowding Out ◽  
Per Capita Gdp ◽  
Debt Overhang ◽  
Positive Effects ◽  
Domestic Debt ◽  
Per Capita

Over the years Pakistan has failed to collect enough revenues for financing of its budget. Consequently, the problem of twin deficits emerged and to finance the developmental activities government has to rely on public external and domestic debt. The positive effects of public debt relate to the fact that in resource-starved economies debt financing if done properly leads to higher growth and adds to their capacity to service and repay public debt. The negative effects work through two main channels—i.e., ―Debt Overhang‖ and ―Crowding Out‖ effects. The present study examines the consequences of public debt for economic growth and investment in Pakistan for the period 1972-2009. It develops a hybrid model that explicitly incorporates the role of public debt in growth equations. As the some variables are I (1) and other are I (0) so Autoregressive Distributed Lag(ARDL) technique has been applied to estimate the model. Study finds that public external debt has negative relationship with per capita GDP and investment confirming the existence of ―Debt Overhang effect‖. However, due to insignificant relationships of debt servicing with investment and per capita GDP, the existence of the crowding out hypothesis could not be confirmed. Similarly, domestic debt has a negative relationship with investment and per capita GDP. In other words, it seems to have crowded out private investment. JEL classification: H63, O43, E22, C22 Keywords: Public Debt, Economic Growth, Investment, ARDL

scholarly journals The Evolution of Economic Activity in the Rural Area of Region 2 South - East

2021 ◽  
Vol 95 ◽  
pp. 01007
Author(s):  
Daniela – Lavinia Balasan ◽  
Dragoş Horia Buhociu
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Economic Development ◽  
Economic Activity ◽  
Labour Force ◽  
Standard Of Living ◽  
Economic Growth Rate ◽  
Current State ◽  
Per Capita ◽  
The Impact

When we talk about economic development, we can refer to improve the standard of living and the prosperity of the population. This is due by increasing per capita income. In order to analyze economic activity, severe indicators must be studied, namely productivity, economic growth rate, labour force share, gross domestic product. In order to carry out as accurate an analysis as possible, it is required to discover the bottlenecks and problems that Region 2 South East makes and to develop a set of reservations and indications leading to the reduction and, why not, the removal of negative aspects. The main purpose of this work is to achieve a strategic plan by studying the current state and the impact of the economic system in recent times in all its forms, with a view to the development of the countryside of Region 2 South – East. I set out to create a website based on the advice of small rural entrepreneurs that evolves gathering information in realistically identifying all the strengths and concentrating them in the region’s potential innovation.

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