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Based on a welfare-maximization model of skilled migration where education generates a positive externality, this paper examines whether the early view regarding brain drain's (BD) negative impact on source countries and the Bhagwati tax (BT) associated with it, is compatible with the recent...
Persistent link: https://www.econbiz.de/10011868679
This paper revisits the question of how brain drain affects the optimal education policy of a developing economy. Our framework of analysis highlights the complementarity between public spending on education and students' efforts to acquire human capital in response to career opportunities at...
Persistent link: https://www.econbiz.de/10011910685
Theory suggests that groups historically subject to discrimination, such as Jews, could exhibit traditionally high … investment in education because discrimination spurred exit facilitated by human capital. Theory moreover suggests that if exit … argue with theory and a range of nonexperimental falsification tests that exit by skilled workers was a necessary causal …
Persistent link: https://www.econbiz.de/10011985775
International migration is a selective process that induces ambiguous effects on human capital and economic development in countries of origin. We establish the theoretical micro-foundations of the relationship between selective emigration and human capital accumulation in a multi-country...
Persistent link: https://www.econbiz.de/10014288247
Is ability drain (AD) economically significant? That immigrants or their children founded over 40% of the Fortune 500 US companies suggests it is. Moreover, brain drain (BD) induces a brain gain (BG). This cannot occur with ability. Nonetheless, while BD has been studied extensively, AD drain...
Persistent link: https://www.econbiz.de/10011407693
We examine how low and high skilled internal emigration causally affect investments in human capital at origin. We provide theoretical and empirical evidence of a disincentive mechanism through which individuals refrain from education should low skilled emigration prove a viable alternative. Our...
Persistent link: https://www.econbiz.de/10013273949
Brain drain BD, human capital h, and inequality's institutional impact is examined in a model where a rent-seeking elite taxes residents and voicing affects the likelihood of regime change. We find that BD and h's impact on institutional quality (Q) are as follows: i) Q is a U-shaped function of...
Persistent link: https://www.econbiz.de/10012550218
The paper assesses the global effects of brain drain on developing economies and quantifies the relative sizes of various static and dynamic impacts. By constructing a unified generic framework characterized by overlapping-generations dynamics and calibrated to real data, this study incorporates...
Persistent link: https://www.econbiz.de/10003860334
Ability drain's (AD) impact on host countries is significant: 30 percent of US Nobel laureates since 1906 are immigrants, and they or their children founded 40 percent of Fortune 500 companies. However, while brain drain (BD) and gain (BG) have been studied extensively, AD has not. I examine...
Persistent link: https://www.econbiz.de/10015044971