Migration and Human Development in Selected OIC Countries

Abstract

The study investigates the relationship between migration, remittances, and Human Development in selected OIC countries over the period 2000 to 2019. Four separate models were built for the purpose of testing the theory. The Fixed Effect Model is estimated after checking its validity using the Hausman test, while the short-run association is measured using a VECM. In addition, FMOLS approach was also used to reveal the structure and strength of inter-variable relationships. We found  that migration has a positive and insignificant impact on remittances and human development in both bivariate and multivariate models. In multivariate models other variables like corruption, political openness and political Stability had a significant and positive impact on remittances but population had an insignificant and positive impact. Population and foreign direct investment are associated with enhanced levels of human development, while political stability showed an insignificant and positive impact and trade had a negative but significant impact on human development. This study's rationale supports policymakers, economic researchers, and investors