This paper addresses the complex and overlooked relationship between the receipt of workers' remittances and …, even after controlling for potential reverse causality. We find that a higher ratio of remittances to GDP is associated …

This paper investigates the channels through which remittances affect macroeconomic volatility in African countries … consumption volatility is somewhat small. Furthermore, remittances are found to absorb a substantial amount of GDP shocks in these … countries. An investigation of the theoretical channels shows that the stabilization impact of remittances essentially hinges on …

This paper identifies a remittances channel that transmits exogenous shocks, such as business cycles in remittance … Middle East, North Africa, and Central Asia, three types of results emerge. First, remittances appear to be strongly … procyclical vis-à-vis sending country income. Second, remittances tend to be spent on consumption of both imported and …