Two essays on economic growth, workers' remittances, human immunodeficiency virus, and foreign direct investment

The first essay explores the effects of HIV and FDI inflow on per capita GDP growth over the period 1980-2009 for two hundred and thirteen (213) countries and territories. Our analysis focuses on Sub-Saharan Africa. HIV is an incurable disease affecting more than 30 million people across the world, 22 million of whom live in Sub-Saharan Africa. FDI is the most important capital flow to low-income countries. The growth impact of HIV and FDI is assessed using an empirical growth model that controls for other determinants of growth. The main result is that HIV has a positive effect on per capita GDP growth and that direct measure of FDI has no effect on per capita GDP growth. Our findings are consistent with Alwyn Young's The gift of the dying and the generally accepted conclusions on the effect of the European black plague in the year 1348. Our results equally suggest that the HIV-per capita GDP growth relation is non linear with an HIV prevalence rate tipping point estimated at 14.3% while Sub-Saharan African, the most affected region in the world, tips at 35.7%. The results equally suggest that policy can be used to create a positive effect of FDI on growth.;The second essay estimates the effect of home country HIV and FDI on migrant workers' remittances sent to low income economies over the period 1997-2007. The 1997 year was a turning point year for remittances and FDI inflows to low income economies, remittances experienced a significant growth and FDI inflows reached for the first time unprecedented level (above 150 billions of dollars). The results of our control variables are consistent with conventional literature, migrants stock is the main driver of remittances. Our findings suggest that home country HIV and FDI are determinants of migrant workers' remittances. The remittance behavior of female migrants is different from that of male migrants. Home country HIV affects positively the remittances behavior of female migrants and negatively that of male migrants. Home country FDI inflow is a robust determinant of remittances inflow to low income economies and it interacts positively with the home country's rate of business creation. Our results equally indicate that foreign aid flow (ODA) to a country has a negative effect on remittances, suggesting a possible free riding of migrant remitters or a crowding out effect on ODA.