International Migrant Remittances in the Context of Economic and Social Sustainable Development. A Comparative Study of Romania-Bulgaria

Abstract

The economic stability is the main goal of every country's administration, contributing to the decrease of uncertainty, creating an attractive business environment, attracting foreign direct investment and contributing to economic growth, which increases the standard of living, reduces income inequalities, represents a sustainable development for the country and puts an end to the migration process. Migration flows lower the demographic resources of the states going through this process and consequently they compromise the possibility for future generations to support a sustainable economic growth. Migration is a process with an aggressive and alarming manifestation in Romania and Bulgaria, raising the problem of the future capacity of these countries to ensure long-term economic and social sustainability and requiring an analysis framework from a scientific perspective. The current study proposes a comparative study to identify the important determinants of international migration in the EU28 and analyses the impact of remittances on economic growth/stability and income inequality in Romania and Bulgaria-Central and Eastern Europe countries-for the period between 1990 and 2015. The main contribution of the present study consists in emphasising the common determinants of the two countries regarding the migration process and at the same time providing solutions to improve government policies to contribute to the economic and social sustainability. The authors employed a multiple regression model and the correlation analysis, and tested 8 hypotheses for Romania and Bulgaria. The results indicated that the main determinants of the migration process in Romania and Bulgaria are the inflation rate, the income inequality and household consumption expenditure. Furthermore, the results indicated that there is not a direct relationship between the remittances received/capita and GDP/capita growth rate in Romania and Bulgaria. In addition, there is a direct relationship (negative and with average intensity) between the remittances received/capita and price inflation rate in Romania but not in Bulgaria. In the case of Romania and Bulgaria, the results indicate that there is a direct relationship with a similar intensity between the remittances received/capita and the unemployment rate, the household final consumption and income inequality.

Enablers of Entrepreneurial Activity across the European Union—An Analysis Using GEM Individual Data

“…For the individuals from G1, the odds ratio was not that high (oddsratio 2007 = 0.713 and oddsratio 2014 = 0.683), indicating that this perceptual variable had the lowest effect on the likelihood of involvement in TEA in both periods. Although, the odds ratio increased in 2014 for G2, it still remained the lowest among the individual-perception factors (see models (8), (9), (11) and (12) (Table 7). In 2014 the odds ratio for networking almost doubled, suggesting the strong effect of this variable on the propensity to engage in early-stage entrepreneurial activity (oddsratio 2007/G1 = 1.504 to oddsratio 2014/G1 = 2.869; oddsratio 2007/G2 = 1.898 to oddsratio 2014/G2 = 3.246).…”

“…In 2014, for less developed economies, the follow up variables were gender (b * M = −0.052), age (b * M = −0.048), opportunity perception (b * M = 0.043), fear of failing (b * M = −0.043) and the interactions between gender and each perceptual factor. For high developed economies, the third importance in predicting early-stage entrepreneurial activity was fear of failing (b * M = −0.094), followed by age (b * M = −0.070), then opportunity perception (b * M = 0.044), gender (b * M = −0.039), and the interactions between gender and each perceptual factor (see (9) and (12), Table 9).…”

“…Entrepreneurship may stimulate growth by introducing innovations, creating change, creating competition and enhancing rivalry [3]. In the context of an evolving economy, entrepreneurs are important assets because they also contribute to social development [4,5], serve as agents of change by bringing new ideas to markets [6,7], may introduce important innovations by placing on the market new products and services [8], and create an attractive business environment by encouraging the creation of new businesses [9].…”

European economic integration and migration in Romania

“…Moreover, this result is also supported by Mansoor and Quillin (2007) who showed the role of remittances in decreasing the poverty and in supporting saving. On long-run (1990On long-run ( -2015, Haller, Butnaru, and Butnaru (2018) showed that remittances did not ensure economic growth, but stimulated households final consumption and income inequality. Moreover, the remittances in Romania negatively affected exports' competitiveness and the motivation to work.…”

The Pressure of Globalization on Educational Evolution in Emerging Economies

“…Also, rural students, more involved in household activities, spend less time on school activities. In this case, there may be mentioned situations in which students lose their lessons due to the impossibility of reaching school, which means a long recovery time [11].…”