TY - BOOK ID - 84539517 TI - Are Workers' Remittances a Hedge Against Macroeconomic Shocks? the Case of Sri Lanka AU - Ruiz-Arranz, Marta. AU - Lueth, Erik. PY - 2007 SN - 1462387128 1452798567 128351155X 1451910398 9786613824004 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Exports and Imports KW - Foreign Exchange KW - Macroeconomics KW - Remittances KW - Geographic Labor Mobility KW - Immigrant Workers KW - Macroeconomic Analyses of Economic Development KW - Development Planning and Policy: Trade Policy KW - Factor Movement KW - Foreign Exchange Policy KW - Time-Series Models KW - Dynamic Quantile Regressions KW - Dynamic Treatment Effect Models KW - Diffusion Processes KW - Energy: Demand and Supply KW - Prices KW - International economics KW - Currency KW - Foreign exchange KW - Outward remittances KW - Oil prices KW - Inward remittances KW - Exchange rates KW - Balance of payments KW - International finance KW - Emigrant remittances KW - Migrant remittances KW - Sri Lanka UR - https://www.unicat.be/uniCat?func=search&query=sysid:84539517 AB - We estimate a vector error correction (VEC) model for Sri Lanka to determine the response of remittance receipts to macroeconomic shocks. This is the first attempt of its kind in the literature. We find that remittance receipts are procyclical and decline when the island's currency weakens, undermining their usefulness as shock absorber. On the other hand, remittances increase in response to oil price shocks, reflecting the fact that most overseas. Sri Lankan are employed in the Gulf states. The procyclicality of remittances calls into question the notion that remittances are largely motivated by altruism. ER -