migration and a sharp growth in the remittances-to-gross domestic product (GDP) ratio; in 2011/12 it was about 23%. The … conventional IG explanation highlights the contribution of remittances to household income and poverty reduction. However …, households are spending remittances largely on consumer activities; therefore, this situation is labeled as "short-term" IG …

In this study, we explore the hypotheses that (a) workers' remittances enhance economic growth in Latin American … countries, and (b) workers' remittances help reduce poverty in Latin American countries. In recent decades, workers' remittances … have become an important source of income for many developing countries and, as a global aggregate, workers' remittances …