ISSN: 2265-6294

The Asymmetric Effect of Remittances on Financial Development in Jordan: A Nonlinear ARDL Analysis

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Al-Abdulrazag, Bashier

Abstract

Globally, the inflows of migrant workers’ remittances have surged dramatically over the last few decades. Furthermore, remittances’ inflows have influences on various economic and social aspects. In this context, this study utilizes data on Jordan from 1980 to 2019 to analyze the asymmetric short-run and long-run impacts of remittances on financial development in the country by applying the linear and nonlinear Autoregressive Distributed Lag (ARDL) model.

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