A gravity model of remittance determinants: evidence from Latin America and the Caribbean

McCracken, Scott; Ramlogan-Dobson, Carlyn; Stack, Marie M.

Abstract

A gravity model of remittance determinants: evidence from Latin America and the Caribbean. Regional Studies. This paper constructs a microeconomic model of the motivation for remittances and uses it to explore the macroeconomic determinants. In addition, a new measure of bilateral remittances is used to estimate a gravity model of remittances for 27 Latin American and Caribbean countries and 18 industrialized countries. The results suggest remittances are motivated by a combination of altruism and self-interest, both of which are encapsulated by economic and non-economic variables.

Citation

McCracken, S., Ramlogan-Dobson, C., & Stack, M. M. (2017). A gravity model of remittance determinants: evidence from Latin America and the Caribbean. Regional studies, 51(5), 737-749. https://doi.org/10.1080/00343404.2015.1133904

• Journal Article Type: Article
• Acceptance Date: Nov 30, 2015
• Online Publication Date: Apr 19, 2016
• Publication Date: May 4, 2017
• Deposit Date: May 15, 2019
• Publicly Available Date: Mar 25, 2021
• Journal: Regional Studies
• Print ISSN: 0034-3404
• Publisher: Routledge
• Peer Reviewed: Peer Reviewed
• Volume: 51
• Issue: 5
• Pages: 737-749
• DOI: https://doi.org/10.1080/00343404.2015.1133904
• Keywords: Gravity model; Bilateral remittances; Latin America
• Public URL: https://hull-repository.worktribe.com/output/1788076
• Publisher URL: https://www.tandfonline.com/doi/full/10.1080/00343404.2015.1133904
• Additional Information: Peer Review Statement: The publishing and review policy for this title is described in its Aims & Scope.; Aim & Scope: http://www.tandfonline.com/action/journalInformation?show=aimsScope&journalCode=cres20