Impact of remittance flow on economic growth and poverty reduction in Nepal

Tesis de Máster , 2015 , 77 Páginas , Calificación: Very good

Economía - Casos de estudio

This research uses time-series data to examine the impact of international remittance flow on economic growth and poverty reduction in Nepal. It applies the econometric model suggested by Ravallion (2001), Ravallion and Chen (1997) and Adam and Page (2005) for remittance and poverty and Quayyum et al (2008) for remittance and growth. Both micro and macro level impacts were considered. The regression results show that remittance flow is positively and significantly correlated with economic growth and poverty reduction in Nepalese context. The finding suggests that in the short run international remittance flow had positive contribution in economic growth and poverty reduction through investments in health, education and consumption. Remittance also contributed to relax credit constraints, especially for the poor and in macro level, helped to finance trade deficit, accumulate foreign exchange reserves and to reduce government debt. However, a deeper analysis of the last two decades shows that increased remittance flow has been the major cause of decline of tradable sector through „Dutch Disease‟ effects. Moreover, remittance contributed to higher inflation, eroded work habits and brought adverse social costs. Combined, the long term impact of remittance seems to be overwhelmingly negative in Nepal.

Inhaltsverzeichnis (Table of Contents)

• 1. Introduction
• 2. Theoretical Framework
• 3. Literature Review
  • 3.1 Remittance and Growth
  • 3.2 Remittance and Poverty Reduction
• 4. Background and Country Information
  • 4.1 Economy and Poverty of Nepal
• 5. Methodology, Data and Results
  • 5.1 Remittance and Poverty Reduction
  • 5.2 Remittance and Growth
  • 5.3 Regression of Remittance and Poverty Reduction
  • 5.4 Regression of Remittance and Growth
• 6. Future Forecast
  • 6.1 Remittance and Behaviour
• 7. Discussion
  • 7.1 Positive Impacts
    • 7.1.1 Micro Level
    • 7.1.2 Macro Level
  • 7.2 Negative Impact
• 8. Conclusion, Recommendation and Limitations

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This research investigates the impact of international remittance flow on economic growth and poverty reduction in Nepal. The study utilizes time-series data and applies econometric models to analyze both micro and macro level impacts. It aims to explore the short-term and long-term effects of remittance flow on the Nepalese economy.

• Impact of remittance flow on economic growth in Nepal
• Influence of remittance flow on poverty reduction in Nepal
• Micro-level effects of remittances on households and individuals
• Macro-level effects of remittances on the Nepalese economy
• Potential negative consequences of remittance flow, such as the "Dutch Disease" effect

Zusammenfassung der Kapitel (Chapter Summaries)

• Chapter 1: Introduction This chapter introduces the research topic, outlining the significance of remittances for the Nepalese economy and highlighting the research questions and objectives.
• Chapter 2: Theoretical Framework This chapter presents the theoretical framework underpinning the research, exploring relevant economic theories and models related to remittances, growth, and poverty reduction.
• Chapter 3: Literature Review This chapter reviews existing literature on the impact of remittances on economic growth and poverty reduction, providing insights from previous studies and highlighting key findings and debates.
• Chapter 4: Background and Country Information This chapter provides a comprehensive overview of the Nepalese economy and its poverty situation, analyzing key economic indicators and highlighting the context in which remittance flow operates.
• Chapter 5: Methodology, Data and Results This chapter details the research methodology, including the data sources, econometric models used, and the key findings from the data analysis. It explores the relationship between remittance flow and economic growth and poverty reduction in Nepal.
• Chapter 6: Future Forecast This chapter presents a forecast of the future trajectory of remittance flow in Nepal, considering potential economic and social factors that may influence its impact on the economy.
• Chapter 7: Discussion This chapter discusses the implications of the research findings, analyzing both the positive and negative impacts of remittance flow on the Nepalese economy and society.

Schlüsselwörter (Keywords)

Remittances, economic growth, poverty reduction, Nepal, econometric models, "Dutch Disease," micro-level impacts, macro-level impacts, time-series data, development economics, labor migration, foreign exchange reserves, trade deficit, credit constraints, inflation, social costs.

• Universidad: University of Glasgow (Adam Smith Business School)
• Curso: Master of Science in Economic Development
• Calificación: Very good
• Autor: Bikal Dhungel (Autor)
• Año de publicación: 2015
• Páginas: 77
• No. de catálogo: V323630
• ISBN (Ebook): 9783668233188
• ISBN (Libro): 9783668233195
• Idioma: Inglés
• Etiqueta: Auslandsüberweisung, Entwicklungshilfe, Remittance, economic growth, poverty, poverty reduction, nepal, migration, international development