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THE PAKISTAN DEVELOPMENT REVIEW
Do Workers’ Remittances Boost Human Capital Development?
This study examines the influence of workers’ remittancesalong with the economic governance system on human capital developmentin 17 countries having low income, lower middle, upper middle and highincome levels by using the annual panel between 1996 and 2013. Overall,results of fixed-effects model reveal that workers’ remittances havesignificantly positive impact on the human capital development. Resultsalso reveal the positive and significant impact of all selectedvariables of economic governance system on human capital. It isconcluded that the strong economic governance system strengthens theassociation between workers’ remittances and human capital during theaforementioned time period. JEL Classification: F24, J23 Keywords:Remittances, Economic Governance System, Human CapitalDevelopment
Muhammad Azam,
Syed Ali Raza
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