Thursday, November 18, 2021

Strong U.S. Economy, Stimulus Spurs Migrants to Send Billions of Dollars Home

Global remittances to low- and middle-income economies fell 1.6% in 2020, defying expectations of a sharper drop

By Eun-Young Jeong of The WSJ. Excerpts:

"Foreign-born workers sent more than $500 billion back to their home countries in the developing world last year, as the economic recovery and generous government programs in areas such as the U.S. helped sustain a critical lifeline for poor nations still battling the Covid-19 pandemic.

According to fresh data from the World Bank, global remittances to low- and middle-income economies fell just 1.6% last year to $540 billion, defying expectations that the pandemic would squeeze overseas workers’ ability to earn and send money to relatives in their home countries."

"Foreign direct investment in medium- or low-income countries fell 30% last year, excluding China, the world’s top destination for FDI.

During the pandemic, stimulus payments and enhanced unemployment and furlough programs in the U.S. and Europe allowed foreign-born workers there to continue to work and cushioned the fall in their incomes. Moreover, many migrants work in key industries such as delivery services and healthcare that continued to operate last year."

"Remittances make up over a fifth of the gross domestic product in countries such as Lebanon, Nepal and Jamaica."

"In the Philippines, where remittances make up over 7% of its GDP, payments from abroad are forecast to have reached $2.5 billion just for the month of March, a 4.8% rise from the previous year"

"In Mexico, remittances reached $4.15 billion in March, the highest amount ever sent from the U.S. to Mexico by migrant workers in a given month and up 2.6% from the same period last year"

Friday, November 12, 2021

Can You Mix Economics With Religion?

 The ancient Greeks sure thought you could. They had a god of commerce and a god of wealth. You can read about them at Britannica.

Hermes (commerce)

Plutus (wealth)

The name of Plutus came up in a Wall Street Journal article called The Greek Tragedy That Changed Europe. It is about the debt problems that Greece faces and how they might affect the European Union. It says:

"Plutus, the Greek god of wealth, did not have an easy life. As the myth goes, Plutus wanted to grant riches only to the "the just, the wise, the men of ordered life." Zeus blinded him out of jealousy of mankind (and envy of the good), leaving Plutus to indiscriminately distribute his favors.

Modern-day Greece may be just and wise, but it certainly has not had an ordered life. As a result, the great opportunity and wealth bestowed by European integration has been largely squandered."

Here are links for Wikpedia:



The Freaknomics blog has a good article about people donate more money to their churches if other people can see how much they are donating called “We Pretend We Are Christians”