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How is remittance related to a country's economy?
Remittances are a caught 22. If the immigrant uses the remittances to invest back in the country they work in then, it will increase the country capital stock, boosting the economy. If on the other hand, the individual uses the remittances as a source of income for their families who are residing overseas; it will only then enhance their families’ living standards and not necessarily boost the economy in the country they are working in.
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