. Remittances can help reduce output growth volatility thanks to their considerable magnitude, stability and low pro … volatility. Instrumental variable estimation supports our intuition about the direction of causality …Since output growth volatility has negative effects on growth, poverty and welfare, especially in poorer countries, it …

We analyze how trade affects aggregate volatility using a multi-country, multiindustry, and multi-destination framework … volatility for high volatility countries. On the other hand, reducing specialization increases volatility. …