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Managua reported having a relative abroad, compared to 35 percent in thePacific region and 29 percent from north-central Nicaragua. The majorityof those reporting outside Managua had relatives working in Costa Rica,whereas those living in Managua had relatives primarily migrating to theUnited States (Orozco 2003a).4.3 Macroeconomic and Counter-cyclical EffectsFrom the macroeconomic point of view, remittances have acquired asmuch importance as exports, traditionally considered the most importantrubric of GDP. In some years, remittances to El Salvador have exceededtotal exports, and in the Dominican Republic and Nicaragua remittancevolumes have been more than half the value of exports. El Salvador hascome to depend heavily on remittances and has executed national policiesto attract them. Even in large economies like Mexico’s, remittances are ofsingular importance; they are equivalent to 6 percent of total exports andover 72 percent of foreign direct investment (Orozco 2002b).Additionally, remittances provide an almost counter-cyclical trend to theeconomy over an extensive period of time (Ratha 2003). Despite the globaleconomic recession and its impact on the United States, remittances havecontinued, even and in spite of growing unemployment among the U.S.Hispanic community. While the Latino/a rate of unemployment rose from6.3 percent in the United States in 2001 to 7.3 percent in 2002 and 8.3percent in 2003, the amount sent continued growing in a normal mannerand even rose for some countries. The trend whereby remittances continueat the same rate or event rise in times of economic downturns is particularlyimportant for the receiving country. 23172The Dominican Republic is a useful case to illustrate and explain macroeconomic determinantsof remittances. For a full analysis of this issue see, Manuel Orozco, “Determinants of RemittanceTransfers: The Case of the Dominican Republic, January 1999 to September 2003.”