We explore the relation between variability in the rate of return to human capital and investment in education in the context of migration. Specifically, we show that if migration is a possibility, such variability in the rate of return to human capital can induce residents of developing...

We explore the relation between variability in the rate of return to human capital and investment in education in the context of migration. Specifically, we show that if migration is a possibility, such variability in the rate of return to human capital can induce residents of developing...

[Introduction:] Whatever workers may take with them when they migrate, they cannot possibly transfer their home country's information structure. Consequently, foreign-country employers are not as well informed about home-country workers as are home-country employers. Typically, migration runs...