JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. For more information about JSTOR, please contact support@jstor.org. International ventionally thought of in terms of increased openness to trade in goods and services, as well as a dramatic increase in the volume of capital flows. The twenty-first-century experience is sometimes contrasted with that of the last wave of globalization at the end of the nineteenth century, when increased integration in both of those dimensions was also accompanied by large waves of international migration. However, this contrast is probably overdrawn, as increases in international flows of labor services have also been characteris-tic of the current wave of globalization, and the impact of these factor move-ments is increasingly being felt in the international economy. A particularly dramatic manifestation of this fact is the sharp recorded increase in flows of worker remittances to the large number of developing countries that have been the source of these flows of labor services. In recent years, many such countries have witnessed significant increases in remittance flows, to the point that their scale has come to dwarf that of other types of resource inflows, whether development assistance, foreign direct investment, or other types of capital flows. In 2007 remittance flows to sub-Saharan Africa were equal in magnitude to flows of official devel-opment assistance, for example. Remittance flows now account for some 17 percent of GDP and 77 percent of exports in El Salvador, and over 20
CITATION STYLE
Chami, R., Barajas, A., … Hakura, D. (2010). Workers’ Remittances and the Equilibrium Real Exchange Rate: Theory and Evidence. IMF Working Papers, 10(287), 1. https://doi.org/10.5089/9781455210947.001
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