Non‐Linearities in Labour Migration and Economic Growth: Evidence From ECOWAS

ABSTRACT This study investigates the existence of asymmetry in the relationship between labour migration and economic growth within the Economic Community of West African States (ECOWAS). Utilising a non‐linear approach informed by Shin et al., the research analyses data from the World Development Indicators of the World Bank for the years 2000–2021. Results indicate a positive impact of labour migration on economic growth, revealing that a 1% increase in labour migration corresponds to a 0.66% decline in Gross Domestic Product (GDP) with statistical significance. Conversely, non‐linear findings suggest that increases in labour migration statistically reduce GDP by 0.16%, while decreases enhance GDP by 1.36%, though this effect is insignificant in the long run. The study concludes that there is an asymmetric relationship between labour migration and economic growth in ECOWAS, underscoring the necessity for policymakers to adopt practical measures to maximise the benefits of migration.