The Impact of Remittances and Financial Development on Income Inequality
Evidence from Low- and Middle-Income Economies Using a Dynamic Panel Threshold
Bibliographic Data
| ID | 22358115 |
|---|---|
| Authors | Hela Mili (0009-0008-2184-7258, Islamic University), Monaem Tarchoun (0000-0001-7011-2508, Dar Al Uloom University) |
| Year | 2025 |
| Volume | 4 |
| Issue | 1 |
| Publication date | 2025-01-21 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Journal of Ecohumanism (JOURNAL) |
| Journal identifiers | ISSN: 2752-6798 • E-ISSN: 2752-6801 |
| Publisher | Creative Publishing House (PUBLISHER • GB) |
| DOI | 10.62754/joe.v4i1.5993 |
| OpenAlex | W4406655866 |
| Language | EN |
| Citations received | 1 |
| References cited | 20 |
This article studies the connection between income inequality, financial development, and remittances for a sample of low- and middle-income nations. Few studies have examined how remittances and financial development simultaneously affect inequality; much of the research that has been done in this area focuses on the relationship between remittances and inequality or the relationship between financial development and inequality. The combined effect of these two on inequality has not, however, been explored in any of the recent studies. We add to the literature in a number of ways. The study used an econometric panel threshold with macroeconomic data during the period 1990 to 2020. We analysed whether remittances and financial development work in conjunction or as a substitution for to reduce inequality. We discovered evidence that, in nations with higher levels of inequality, remittances substitute financial development. However, in nations with less severe inequality, remittances complement financial development to reduce inequality. Second, we found that the impact of remittances on substitution is greater than their complementing effect. Finally, we found that financial development and remittances have various effects because of the conditional distribution of disparities, even though prior research has claimed that these two factors have homogenous effects on inequalities
Demographic economics · Econometrics · Economic inequality · Economics · Income distribution · Inequality · Panel data · Economic Growth and Development · Fiscal Policy and Economic Growth · Migration and Labor Dynamics
Inflation and growth
Threshold effects in non-dynamic panels
The Impact of Remittances and Financial Development on Income Inequality
Remittances and inequality
Poverty and Disasters
Microeconomic Implications of Remittances in an Overlapping Generations Model with Altruism and a Motive to Receive Inheritance
Inflation and inequality
Macroeconomic Consequences of Remittances
Finance, inequality and the poor
Financial development and income inequality
Remittance and carbon dioxide emissions in the Southern African Customs Union region
Remittances and inequality
Financial development and income inequality
The way to sustainable development through income equality
The roles of destination, gender, and household composition in explaining remittances
Remittances and banking sector breadth and depth
Remittances, financial development, and growth
Measuring Income Inequality Across Countries and Over Time
Remittances, savings and return migration under uncertainty
Migration, business formation, and the informal economy in urban Mexico
| Citations per year | 1 |
|---|---|
| Citation span | 2025 - 2025 (1) |
| Highly cited | No |