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It has been widely argued that, with the decline in trade costs, the importance of distance has declined over time. On the other hand, most gravity models find that the importance of distance has increased over time. This puzzle has not been satisfactorily explained and is examined here. The...
Persistent link: https://www.econbiz.de/10005543378
Migration is an important and yet neglected determinant of institutions.This paper investigates the effect of emigration on the quality of home-country institutions. Using consider cross-sectional as well as dynamic-panel regressions for a large sample of developing countries, we find that...
Persistent link: https://www.econbiz.de/10010747784
Brain drain is a major issue for Small Island Developing States (SIDS). Econometric analysis confirms that smallness has a strong positive impact per se on emigration rates. On average, 50 percent of the high-skilled labour force in SIDS has left their country, and the brain drain exceeds 75...
Persistent link: https://www.econbiz.de/10010714113
Emigration affects institutions at home in a number of ways. While people may have fewer incentives to voice when they have exit options, emigrants can voice once abroad and contribute to the diffusion of democratic values and norms. We first document these channels and then consider...
Persistent link: https://www.econbiz.de/10008673436
It has been argued that the adverse impact of skilled versus unskilled labor migration can be mitigated or even offset by the fact that skilled migrants remit more than unskilled ones. This paper contributes to the much debated and so far unresolved related issue, namely whether remittances...
Persistent link: https://www.econbiz.de/10010898125