Return Migration as Channel of Brain Gain
AbstractRecent theoretical and empirical studies have emphasized the fact that the prospect of international migration increases the expected returns to skills in poor countries, linking the possibility of migrating (brain drain) with incentives to higher education (brain gain). If emigration is uncertain and some of the highly educated remain, such a channel may, at least in part, counterbalance the negative effects of brain drain. Moreover, recent empirical evidence seems to show that temporary migration is widespread among highly skilled migrants (such as Eastern Europeans in Western Europe and Asians in the U.S.). This paper develops a simple tractable overlapping generations model that provides an economic rationale for return migration and which predicts who will migrate and who will return among agents with heterogeneous abilities. We use parameter values from the literature and the data on return migration to calibrate our model and simulate and quantify the effects of increased openness on human capital and wages of the sending countries. We find that, for plausible values of the parameters, the return migration channel is very important and combined with the incentive channel reverses the brain drain into significant brain gain for the sending country.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London in its series CReAM Discussion Paper Series with number 0804.
Date of creation: Apr 2008
Date of revision:
Contact details of provider:
Postal: Drayton House, 30 Gordon Street, London WC1H 0AX
Phone: +44 (0)20 7679 5888
Fax: +44 (0)20 7916 2775
Web page: http://www.cream-migration.org/
More information through EDIRC
Skilled Migration; Return Migration; Returns to Education;
Other versions of this item:
- F22 - International Economics - - International Factor Movements and International Business - - - International Migration
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-05-17 (All new papers)
- NEP-DEV-2008-05-17 (Development)
- NEP-DGE-2008-05-17 (Dynamic General Equilibrium)
- NEP-HRM-2008-05-17 (Human Capital & Human Resource Management)
- NEP-LAB-2008-05-17 (Labour Economics)
- NEP-MIG-2008-05-17 (Economics of Human Migration)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bhagwati, Jagdish & Rodriguez, Carlos, 1975.
"Welfare-theoretical analyses of the brain drain,"
Journal of Development Economics,
Elsevier, vol. 2(3), pages 195-221, September.
- Caselli, Francesco & Coleman II, Wilbur John, 2000.
"The World Technology Frontier,"
CEPR Discussion Papers
2584, C.E.P.R. Discussion Papers.
- George J. Borjas & Bernt Bratsberg, 1994.
"Who Leaves? The Outmigration of the Foreign-Born,"
NBER Working Papers
4913, National Bureau of Economic Research, Inc.
- Michel Beine & Frédéric Docquier & Hillel Rapoport, .
"Brain drain and human capital formation in developing countries: winners and losers?,"
ULB Institutional Repository
2013/10415, ULB -- Universite Libre de Bruxelles.
- Michel Beine & Fréderic Docquier & Hillel Rapoport, 2008. "Brain Drain and Human Capital Formation in Developing Countries: Winners and Losers," Economic Journal, Royal Economic Society, vol. 118(528), pages 631-652, 04.
- Michel, BEINE & Frédéric, DOCQUIER & Hillel, RAPOPORT, 2006. "Brain drain and human capital formation in developing countries : winners and losers," Discussion Papers (ECON - DÃ©partement des Sciences Economiques) 2006023, Université catholique de Louvain, Département des Sciences Economiques.
- Schiff, Maurice, 2005.
"Brain gain : claims about its size and impact on welfare and growth are greatly exaggerated,"
Policy Research Working Paper Series
3708, The World Bank.
- Schiff, Maurice, 2005. "Brain Gain: Claims about Its Size and Impact on Welfare and Growth Are Greatly Exaggerated," IZA Discussion Papers 1599, Institute for the Study of Labor (IZA).
- Sebastian Gundel & Heiko Peters, 2008.
"What Determines the Duration of Stay of Immigrants in Germany?: Evidence from a Longitudinal Duration Analysis,"
SOEPpapers on Multidisciplinary Panel Data Research
79, DIW Berlin, The German Socio-Economic Panel (SOEP).
- Sebastian Gundel & Heiko Peters, 2008. "What determines the duration of stay of immigrants in Germany?: Evidence from a longitudinal duration analysis," International Journal of Social Economics, Emerald Group Publishing, vol. 35(11), pages 769-782, October.
- Daron Acemoglu, 2002.
"Directed Technical Change,"
Review of Economic Studies,
Oxford University Press, vol. 69(4), pages 781-809.
- Dustmann, Christian & Kirchkamp, Oliver, 2001.
"The Optimal Migration Duration and Activity Choice after Re-migration,"
IZA Discussion Papers
266, Institute for the Study of Labor (IZA).
- Dustmann, Christian & Kirchkamp, Oliver, 2002. "The optimal migration duration and activity choice after re-migration," Journal of Development Economics, Elsevier, vol. 67(2), pages 351-372, April.
- Dustmann, Christian & Kirchkamp, Oliver, 2000. "The Optimal Migration Duration and Activity Choice after Re-migration," Sonderforschungsbereich 504 Publications 00-39, Sonderforschungsbereich 504, Universität Mannheim & Sonderforschungsbereich 504, University of Mannheim.
- Lynne G. Zucker & Michael R. Darby, 2007. "Star Scientists, Innovation and Regional and National Immigration," NBER Working Papers 13547, National Bureau of Economic Research, Inc.
- Christian Dustmann & Yoram Weiss, 2007. "Return Migration: Theory and Empirical Evidence from the UK," British Journal of Industrial Relations, London School of Economics, vol. 45(2), pages 236-256, 06.
- Barro, Robert J & Lee, Jong-Wha, 2001.
"International Data on Educational Attainment: Updates and Implications,"
Oxford Economic Papers,
Oxford University Press, vol. 53(3), pages 541-63, July.
- Robert J. Barro & Jong-Wha Lee, 2000. "International Data on Educational Attainment Updates and Implications," NBER Working Papers 7911, National Bureau of Economic Research, Inc.
- Robert J. Barro & Jong-Wha Lee, 2000. "International Data on Educational Attainment: Updates and Implications," CID Working Papers 42, Center for International Development at Harvard University.
- Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-18, October.
- Stark, Oded, 2004.
"Rethinking the Brain Drain,"
Elsevier, vol. 32(1), pages 15-22, January.
- Bhagwati, Jagdish & Hamada, Koichi, 1974. "The brain drain, international integration of markets for professionals and unemployment : A theoretical analysis," Journal of Development Economics, Elsevier, vol. 1(1), pages 19-42, April.
- Antonio Ciccone & Giovanni Peri, 2006. "Identifying Human-Capital Externalities: Theory with Applications," Review of Economic Studies, Wiley Blackwell, vol. 73(2), pages 381-412, 04.
- Commander, Simon & Chanda, Rupa & Kangasniemi, Mari & Winters, L. Alan, 2004. "Must Skilled Migration Be a Brain Drain? Evidence from the Indian Software Industry," IZA Discussion Papers 1422, Institute for the Study of Labor (IZA).
- Jeffrey Grogger & Gordon H. Hanson, 2008.
"Income Maximization and the Selection and Sorting of International Migrants,"
NBER Working Papers
13821, National Bureau of Economic Research, Inc.
- Grogger, Jeffrey & Hanson, Gordon H., 2011. "Income maximization and the selection and sorting of international migrants," Journal of Development Economics, Elsevier, vol. 95(1), pages 42-57, May.
- Brunilda Zenelaga & Kseanela Sotirofski, 2011. "The `Brain Gain Hypotheses` of Transition Countries Elites and Socioeconomic Development in Their Home Country (Albanian Emigrants in Italy Sample)," Working Papers 46, AlmaLaurea Inter-University Consortium.
- Alireza Naghavi & Chiara Strozzi, 2011.
"Intellectual Property Rights, Migration, and Diaspora,"
Center for Economic Research (RECent)
068, University of Modena and Reggio E., Dept. of Economics.
- A. Naghavi & C. Strozzi, 2011. "Intellectual Property Rights, Migration, and Diaspora," Working Papers wp774, Dipartimento Scienze Economiche, Universita' di Bologna.
- Naghavi, Alireza & Strozzi, Chiara, 2011. "Intellectual Property Rights, Migration, and Diaspora," IZA Discussion Papers 5864, Institute for the Study of Labor (IZA).
- Alireza Naghavi & Chiara Strozzi, 2011. "Intellectual Property Rights, Migration, and Diaspora," Working Papers 2011.60, Fondazione Eni Enrico Mattei.
- Christian Dustmann & Albrecht Glitz & Thorsten Vogel, 2006.
"Employment, Wages, and the Economic Cycle: Differences between Immigrants and Natives,"
CReAM Discussion Paper Series
0609, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Dustmann, Christian & Glitz, Albrecht & Vogel, Thorsten, 2010. "Employment, wages, and the economic cycle: Differences between immigrants and natives," European Economic Review, Elsevier, vol. 54(1), pages 1-17, January.
- Dustmann, Christian & Glitz, Albrecht & Vogel, Thorsten, 2009. "Employment, Wages, and the Economic Cycle: Differences between Immigrants and Natives," IZA Discussion Papers 4432, Institute for the Study of Labor (IZA).
- Simona Monteleone, 2011. "Brain Drain and Economic Growth: A Critical Review," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 1, March.
- Monteleone, Simona & Torrisi, Benedetto, 2010. "A Micro Data Analisys Of Italy’s Brain Drain," MPRA Paper 20995, University Library of Munich, Germany.
- Ha, Wei & Yi, Junjian & Zhang, Junsen, 2009.
"Brain Drain, Brain Gain, and Economic Growth in China,"
19221, University Library of Munich, Germany.
- Wei Ha & Junjian Yi & Junsen Zhang, 2009. "Brain Drain, Brain Gain and Economic Growth in China," Human Development Research Papers (2009 to present) HDRP-2009-37, Human Development Report Office (HDRO), United Nations Development Programme (UNDP), revised Aug 2009.
- Renata Ivanova & Byeongju Jeong, 2011. "Why Don't Migrants with Secondary Education Return?," CERGE-EI Working Papers wp449, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
- Christian Dustmann & Itzhak Fadlon & Yoram Weiss, 2010.
"Return Migration, Human Capital Accumulation and the Brain Drain,"
CReAM Discussion Paper Series
1013, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Dustmann, Christian & Fadlon, Itzhak & Weiss, Yoram, 2011. "Return migration, human capital accumulation and the brain drain," Journal of Development Economics, Elsevier, vol. 95(1), pages 58-67, May.
- Sabharwal, Meghna, 2011. "Job satisfaction patterns of scientists and engineers by status of birth," Research Policy, Elsevier, vol. 40(6), pages 853-863, July.
- Nifo, Annamaria & Pagnotta, Stefano & Scalera, Domenico, 2011.
"The best and brightest. Selezione positiva e brain drain nelle migrazioni interne italiane
[The best and brightest. Positive selection and brain drain in Italian internal migrations]," MPRA Paper 34506, University Library of Munich, Germany.
- Simona Monteleone & Benedetto Torrisi, 2010. "A micro data analysis of Italy’s brain drain," Discussion Papers 4_2010, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy.
- Daniela Federici & Marilena Giannetti, 2010.
"Temporary Migration and Foreign Direct Investment,"
Open Economies Review,
Springer, vol. 21(2), pages 293-308, April.
- Garcia, Pablo M & Rodriguez-Montemayor, Eduardo, 2010. "A primer of international migration: The Latin American experience and a proposal for a research agenda," MPRA Paper 24147, University Library of Munich, Germany.
- Eduardo Rodríguez-Montemayor & Pablo M. García, 2009. "A Primer of International Migration: The Latin American Experience," IDB Publications 9327, Inter-American Development Bank.
- Simona Monteleone, 2009. "Brain drain e crescita economica: Una rassegna critica sugli effetti prodotti," Working Papers 2_2009, D.E.S. (Department of Economic Studies), University of Naples "Parthenope", Italy.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Qanitah Nasir) or (Thomas Cornelissen) or (Anna Rosso).
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.