Factor Mobility, Net Migration, Growth and the Lot of the Poorest Quintile in Developing Countries

This article examines the impact of factor mobility and migration on per capita gross domestic product (GDP) growth and the welfare of the poorest quintile in developing countries. Based on data from the World Bank and using a sample of 46 developing economies, we found that the per capita GDP growth is linearly dependent upon net migration, infrastructure investment, the level of educational attainment, the percentage of rural and urban population with sanitation and water services, the possible effect of improved health and investment. The regression results also show that the share of the poorest quintile in national consumption or income is a linear function of the level of urbanisation, the level of educational attainment, infrastructure investment and investment. These results could assist policy makers in developing countries identify areas in which budgets need to be reallocated to stimulate economic growth.