Economic Interdependence between Oil Producing and Labor Exporting Countries

Oil and workers remittances play an important role in the international economy. Only a few articles have been trying to investigate the effects of oil price fluctuations on both oil producing and labor exporting countries. For oil producing countries, the concentration in production might be the main reason for the fluctuation in export earnings that lead to large changes in export revenues. Because of the lack of skilled labor in oil producing countries, they are heavily dependant on the skilled workers from labor exporting countries such as Pakistan, India, Bangladesh, Egypt, the Philippines, and other countries. So, any oil shock is expected to harm labor exporting countries by influencing the workers remittances. This book is expected to enrich the international library with the importance of workers remittances to labor exporting countries. I hope that this book will help the international community to realize how negatively the oil price fluctuations would influence poor countries (labor exporting countries) through affecting workers remittances which are important to macroeconomic variables such as investment, consumption and thus gross domestic product (GDP).