Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/185136 
Year of Publication: 
2018
Series/Report no.: 
IZA Discussion Papers No. 11676
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
The literature on remittances is large and growing. However, its focus has mainly been on the effects of remittance inflows on the receiving economies. Little has been done on the sending economies. In this paper, we use data from Saudi Arabia, one of the top remitting countries in the world, to identify the impact of government spending on Saudi Arabia's real output considering the role of remittance outflows. The results suggest that remittance outflows have a weak effect, if at all, on government spending, which, in turn, has an insignificant impact on GDP. The paper discusses some policy implications.
Subjects: 
remittances
multipliers
fiscal policy
GCC
JEL: 
C23
E61
F24
N15
Document Type: 
Working Paper

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