Arbeitspapier

Development Aid, Remittances Inflows and Wages in the Manufacturing Sector of Recipient-Countries

This article has considered the effect of development aid and remittances inflows on wages in the manufacturing sector of the recipient-economies. The empirical analysis has used a sample of 95 countries over the period 1963-2016, and on the two-step system Generalized Methods of Moments (GMM). Results show for the full sample that while remittances influence positively wages, development aid exerts a negative effect on wages, although LDCs enjoy a positive effect of development aid on wages. Additionally, the effects of development aid and remittances on wages depend on the prevailing real exchange rate as well as the values of manufacturing exports.

Language
Englisch

Classification
Wirtschaft
Foreign Aid
Wages, Compensation, and Labor Costs: General
Industrialization; Manufacturing and Service Industries; Choice of Technology
Subject
Development aid
Remittances inflows
Wages in the manufacturing sector
Real Exchange Rate
Manufactured exports

Event
Geistige Schöpfung
(who)
Gnangnon, Sèna Kimm
Event
Veröffentlichung
(who)
ZBW – Leibniz Information Centre for Economics
(where)
Kiel, Hamburg
(when)
2020

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Gnangnon, Sèna Kimm
  • ZBW – Leibniz Information Centre for Economics

Time of origin

  • 2020

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