Return migration and economic development

This chapter reviews the economics literature on return migration. It begins by documenting the extent of return migration and shows that it is far from negligible. It discusses the data challenges and the methodological hurdles in measuring return migration and tackling the double selectivity associated with the initial emigration and with the return. The chapter also provides a coherent framework on the determinants of return migration reviewing both the theoretical and empirical literature. Focusing then on the role played by returnees in the economic development of their country of origin, this chapter draws together the small scattered literature on the contribution of return migration in reducing credit constraints, allowing for brain circulation and gains, and transmitting of norms to sending economies. Yet it underscores the great need for better data measuring and capturing return migration.