TY - JOUR ID - 86974 TI - Migrant Remittances and Dutch Disease: Evidence from India JO - Iranian Economic Review JA - IER LA - en SN - 1026-6542 AU - Faheem, Muhammad AU - Azali, Mohamed AU - Chin, Lee AU - Mazlan, Nur Syazwani AD - Department of Economics, Faculty of Economics and Management, Universiti Putra Malaysia, Serdang, Malaysia Y1 - 2022 PY - 2022 VL - 26 IS - 1 SP - 121 EP - 132 KW - Migrant Remittances KW - Dutch Disease KW - ARDL KW - India DO - 10.22059/ier.2022.86974 N2 - This study deals with the question of whether the inflow of migrant remittances causes Dutch Disease or not in India. For this purpose, the study employs the Autoregressive Distributed Lag Model (ARDL) to examine the influence of migrant remittances on the real effective exchange rate spanning the period from 1975 to 2018. In the long run, the study finds a positive relationship between migrants’ remittances and the real effective exchange rate, meaning that evidence of Dutch Disease risk in India. The study also checks the moderating effect of inflation on remittances and real effective exchange rate relationship and finds a negative effect. The study recommends that the government of India would implement and design the policies for the diversification of remittances flow toward priority areas of investment.  UR - https://ier.ut.ac.ir/article_86974.html L1 - https://ier.ut.ac.ir/article_86974_b146f4ebf563173247d7fd241767a5ea.pdf ER -