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Rent-seeking activities and the `brain gain' effects of migration

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  • Baochun Peng
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    Abstract

    This paper studies migration and rent-seeking activities in a framework of heterogeneous ability. It is shown that, despite the depletion of productive resources known as the `brain drain,' the possibility of migration could sufficiently reduce participation in rent-seeking activities and increase participation in productive activities such that the net effect of migration is a `brain gain.' Moreover, the possibility of migration that sufficiently enlarges the relative reward to ability in the productive sector could result in qualitative improvements in the allocation of talent.

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    File URL: http://economics.ca/cgi/xms?jab=v42n4/CJEv42n4p1561.pdf
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    Bibliographic Info

    Article provided by Canadian Economics Association in its journal Canadian Journal of Economics.

    Volume (Year): 42 (2009)
    Issue (Month): 4 (November)
    Pages: 1561-1577

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    Handle: RePEc:cje:issued:v:42:y:2009:i:4:p:1561-1577

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