IDEAS home Printed from https://ideas.repec.org/a/bla/reviec/v17y2009i1p156-171.html
   My bibliography  Save this article

The Economic Impact of Medical Migration: A Receiving Country's Perspective

Author

Listed:
  • Martine Rutten

Abstract

This paper seeks to determine the macroeconomic impacts of migration of skilled medical personnel from a receiving country's perspective. The resource allocation issues are explored in theory, by developing an extension of the Rybczynski theorem in a low‐dimension Heckscher–Ohlin framework, and empirically, by developing a static CGE model for the UK with an extended health sector component. Using simple diagrams, an expansion of the health sector by recruiting immigrant skilled workers in certain cases is shown to compare favorably to the long‐term (short‐term) alternative of using domestic (unskilled) workers. From a formal analysis, changes in nonhealth outputs are shown to depend on factor‐bias and scale effects. The net effects generally are indeterminate. The main finding from the applied model is that importing foreign doctors and nurses into the UK yields higher overall welfare gains than a generic increase in the NHS budget. Welfare gains rise in case of wage protection.

Suggested Citation

  • Martine Rutten, 2009. "The Economic Impact of Medical Migration: A Receiving Country's Perspective," Review of International Economics, Wiley Blackwell, vol. 17(1), pages 156-171, February.
  • Handle: RePEc:bla:reviec:v:17:y:2009:i:1:p:156-171
    DOI: 10.1111/j.1467-9396.2008.00798.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-9396.2008.00798.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1467-9396.2008.00798.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Martin, John P, 1976. "Variable Factor Supplies and the Heckscher-Ohlin-Samuelson Model," Economic Journal, Royal Economic Society, vol. 86(344), pages 820-831, December.
    2. Martine Rutten, 2009. "The Economic Impact of Medical Migration: An Overview of the Literature," The World Economy, Wiley Blackwell, vol. 32(2), pages 291-325, February.
    3. Martin, John P. & Neary, J. Peter, 1980. "Variable labour supply and the pure theory of international trade : An empirical note," Journal of International Economics, Elsevier, vol. 10(4), pages 549-559, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pavel Yakovlev & Tanner Steinkopf, 2014. "Can Economic Freedom Cure Medical Brain Drain?," Journal of Private Enterprise, The Association of Private Enterprise Education, vol. 29(Fall 2014), pages 97-117.
    2. Michel Grignon & Yaw Owusu & Arthur Sweetman, 2013. "The international migration of health professionals," Chapters, in: Amelie F. Constant & Klaus F. Zimmermann (ed.), International Handbook on the Economics of Migration, chapter 4, pages 75-97, Edward Elgar Publishing.
    3. Anghel, Remus Gabriel & Co?ciug, Anatolie & Manafi, Ioana & Roman, Monica, 2016. "International Migration, Return Migration, and their Effects: A Comprehensive Review on the Romanian Case," IZA Discussion Papers 10445, Institute of Labor Economics (IZA).
    4. Ezekiel Kalipeni & Linda L. Semu & Margaret Asalele Mbilizi, 2012. "The brain drain of health care professionals from sub-Saharan Africa: A geographic perspective," Progress in Development Studies, , vol. 12(2-3), pages 153-171, July.
    5. repec:ilo:ilowps:485561 is not listed on IDEAS
    6. Oda, Masao & Okawa, Masayuki, 2018. "A model for liberalizing nursing and trade," Japan and the World Economy, Elsevier, vol. 46(C), pages 50-55.
    7. Martine Rutten, 2009. "The Economic Impact of Medical Migration: An Overview of the Literature," The World Economy, Wiley Blackwell, vol. 32(2), pages 291-325, February.
    8. Beladi, Hamid & Chao, Chi-Chur & Ee, Mong Shan & Hollas, Daniel, 2015. "Medical tourism and health worker migration in developing countries," Economic Modelling, Elsevier, vol. 46(C), pages 391-396.
    9. Wickramasekara, Piyasiri., 2014. "Assessment of the impact of migration of health professionals on the labour market and health sector performance in destination countries," ILO Working Papers 994855613402676, International Labour Organization.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rutten, Martine, 2008. "Medical migration : what can we learn from the UK's perspective ?," Policy Research Working Paper Series 4593, The World Bank.
    2. RUTTEN Martine & BLAKE Adam & REED Geoffrey, 2010. "The Economic Impact of Health Provision: A Preliminary CGE Assessment for the UK," EcoMod2003 330700128, EcoMod.
    3. Rutten, Martine & Reed, Geoffrey, 2009. "A comparative analysis of some policy options to reduce rationing in the UK's NHS: Lessons from a general equilibrium model incorporating positive health effects," Journal of Health Economics, Elsevier, vol. 28(1), pages 221-233, January.
    4. Gatsios, Konstantine, 2000. "Terms of Trade Shocks and Domestic Prices under Tariffs and Quotas: A Note," CEPR Discussion Papers 2593, C.E.P.R. Discussion Papers.
    5. Anghel, Remus Gabriel & Botezat, Alina & Cosciug, Anatolie & Manafi, Ioana & Roman, Monica, 2016. "International migration, return migration, and their effects. A comprehensive review on the Romanian case," MPRA Paper 75528, University Library of Munich, Germany, revised Dec 2016.
    6. Fung, Michael Ka-Yiu, 1995. "Quotas, GNP and labor supply in a small open economy," International Review of Economics & Finance, Elsevier, vol. 4(1), pages 79-87.
    7. Okeke, Edward N., 2013. "Brain drain: Do economic conditions “push” doctors out of developing countries?," Social Science & Medicine, Elsevier, vol. 98(C), pages 169-178.
    8. Ma, Yan, 2009. "Trade theorems in a model of vertical production chain," International Review of Economics & Finance, Elsevier, vol. 18(1), pages 70-80, January.
    9. Maskus, Keith E., 1997. "Should core labor standards be imposed through international trade policy?," Policy Research Working Paper Series 1817, The World Bank.
    10. Michel Grignon & Yaw Owusu & Arthur Sweetman, 2013. "The international migration of health professionals," Chapters, in: Amelie F. Constant & Klaus F. Zimmermann (ed.), International Handbook on the Economics of Migration, chapter 4, pages 75-97, Edward Elgar Publishing.
    11. Jacques Poot & Anna Strutt, 2010. "International Trade Agreements and International Migration," The World Economy, Wiley Blackwell, vol. 33(12), pages 1923-1954, December.
    12. Luzius Meisser & C. Friedrich Kreuser, 2017. "An Agent-Based Simulation of the Stolper–Samuelson Effect," Computational Economics, Springer;Society for Computational Economics, vol. 50(4), pages 533-547, December.
    13. Pasquale M. Sgro & Jean-Jacques Nowak & Mondher Sahli, 2004. "Tourism, Trade and Domestic Welfare," Working Papers 2004.24, Fondazione Eni Enrico Mattei.
    14. Tran-Nam, Binh, 2017. "Decomposing the gains from trade in the presence of time-consuming consumption," International Journal of Development and Conflict, Gokhale Institute of Politics and Economics, vol. 7(1), pages 1-11.
    15. Boncea Irina, 2013. "Medical Brain Drain - A Theoretical Approach," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 64-71, July.
    16. Falvey, Rod & Greenaway, David & Silva, Joana, 2010. "Trade liberalisation and human capital adjustment," Journal of International Economics, Elsevier, vol. 81(2), pages 230-239, July.
    17. Alejandro Vega-Muñoz & Paloma Gónzalez-Gómez-del-Miño & Juan Felipe Espinosa-Cristia, 2021. "Recognizing New Trends in Brain Drain Studies in the Framework of Global Sustainability," Sustainability, MDPI, vol. 13(6), pages 1-27, March.
    18. Andrew Sharpe & Simon Lapointe, 2011. "The Labour Market and Economic Performance of Canada’s First Nations Reserves: The Effect of Educational Attainment and Remoteness," CSLS Research Reports 2011-05, Centre for the Study of Living Standards.
    19. Driouchi, Ahmed, 2015. "New Health Technologies and Health Workforce in Developing Economies," MPRA Paper 67775, University Library of Munich, Germany.
    20. Pavel Yakovlev & Tanner Steinkopf, 2014. "Can Economic Freedom Cure Medical Brain Drain?," Journal of Private Enterprise, The Association of Private Enterprise Education, vol. 29(Fall 2014), pages 97-117.

    More about this item

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • I1 - Health, Education, and Welfare - - Health

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:reviec:v:17:y:2009:i:1:p:156-171. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0965-7576 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.