Unemployment and remittances nexus in Ghana: The gender perspective

AbstractThe present study aims at investigating the nexus between unemployment and remittances in Ghana, with a focus on the gender perspective. Using time-series data spanning from 1990 to 2021, the ARDL model is estimated. According to the findings, remittances, inflation, FDI, exports of goods an...

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Main Authors: Mohammed Ridwan Saani, Abdul-Malik Abdulai, Mubarik Salifu
Format: Article
Language:English
Published: Taylor & Francis Group 2023-06-01
Series:Cogent Economics & Finance
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/23322039.2023.2243068
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author Mohammed Ridwan Saani
Abdul-Malik Abdulai
Mubarik Salifu
author_facet Mohammed Ridwan Saani
Abdul-Malik Abdulai
Mubarik Salifu
author_sort Mohammed Ridwan Saani
collection DOAJ
description AbstractThe present study aims at investigating the nexus between unemployment and remittances in Ghana, with a focus on the gender perspective. Using time-series data spanning from 1990 to 2021, the ARDL model is estimated. According to the findings, remittances, inflation, FDI, exports of goods and services, and gross capital formation all have a long-run association with the unemployment rate. Remittances positively correlate with unemployment in the long run. All else being equal, remittances in Ghana tend to also increase female unemployment in the long run. In the short run, while the contemporaneous coefficient is negative, the lagged remittance positively correlates with the unemployment rate in Ghana. The lagged remittance further positively correlates with female and male unemployment in the short run. Finally, we also found a mediating effect of GDP on remittances in reducing the unemployment rate in Ghana. The study therefore recommends that, for remittances to reduce unemployment in the short run, policymakers ought to incentivize deposits of remittances in Ghanaian banks using attractive interest rates. As a result, this might encourage savings, investment, and economic growth, which would eventually result in a decrease in the unemployment rate in the long run.
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spelling doaj.art-55b3293af5f64f26a165201f8b717ccd2023-08-06T13:05:50ZengTaylor & Francis GroupCogent Economics & Finance2332-20392023-06-0111210.1080/23322039.2023.2243068Unemployment and remittances nexus in Ghana: The gender perspectiveMohammed Ridwan Saani0Abdul-Malik Abdulai1Mubarik Salifu2Department of Economics, University for Development Studies, Tamale, GhanaDepartment of Economics, University for Development Studies, Tamale, GhanaDepartment of Economics, University for Development Studies, Tamale, GhanaAbstractThe present study aims at investigating the nexus between unemployment and remittances in Ghana, with a focus on the gender perspective. Using time-series data spanning from 1990 to 2021, the ARDL model is estimated. According to the findings, remittances, inflation, FDI, exports of goods and services, and gross capital formation all have a long-run association with the unemployment rate. Remittances positively correlate with unemployment in the long run. All else being equal, remittances in Ghana tend to also increase female unemployment in the long run. In the short run, while the contemporaneous coefficient is negative, the lagged remittance positively correlates with the unemployment rate in Ghana. The lagged remittance further positively correlates with female and male unemployment in the short run. Finally, we also found a mediating effect of GDP on remittances in reducing the unemployment rate in Ghana. The study therefore recommends that, for remittances to reduce unemployment in the short run, policymakers ought to incentivize deposits of remittances in Ghanaian banks using attractive interest rates. As a result, this might encourage savings, investment, and economic growth, which would eventually result in a decrease in the unemployment rate in the long run.https://www.tandfonline.com/doi/10.1080/23322039.2023.2243068unemploymentremittancesgender perspectiveARDL
spellingShingle Mohammed Ridwan Saani
Abdul-Malik Abdulai
Mubarik Salifu
Unemployment and remittances nexus in Ghana: The gender perspective
Cogent Economics & Finance
unemployment
remittances
gender perspective
ARDL
title Unemployment and remittances nexus in Ghana: The gender perspective
title_full Unemployment and remittances nexus in Ghana: The gender perspective
title_fullStr Unemployment and remittances nexus in Ghana: The gender perspective
title_full_unstemmed Unemployment and remittances nexus in Ghana: The gender perspective
title_short Unemployment and remittances nexus in Ghana: The gender perspective
title_sort unemployment and remittances nexus in ghana the gender perspective
topic unemployment
remittances
gender perspective
ARDL
url https://www.tandfonline.com/doi/10.1080/23322039.2023.2243068
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