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Brain drain and Human Capital Formation in Developing Countries. Are there Really Winners?

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  • José Luis Groizard

    (Universitat de les Illes Balears)

  • Joan Llull

    (CEMFI)

Abstract

We examine the empirical relationship between the migration rate of skilled workers and human capital formation in developing countries. In particular, we revisit Beine, Docquier and Rapoport (2007), who find evidence of an incentive effect. Our results suggest that an incentive effect is weak if not absent, since positive correlation among brain drain and human capital ex-ante is not robust to small changes in the specification.

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Bibliographic Info

Paper provided by Universitat de les Illes Balears, Departament d'Economía Aplicada in its series DEA Working Papers with number 28.

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Date of creation: 2007
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Handle: RePEc:ubi:deawps:28

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Keywords: brain drain; migration; education; incentives;

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  1. Stark, Oded & Helmenstein, Christian & Prskawetz, Alexia, 1998. "Human capital depletion, human capital formation, and migration: a blessing or a "curse"?," Economics Letters, Elsevier, vol. 60(3), pages 363-367, September.
  2. Stark, Oded & Wang, Yong, 2002. "Inducing human capital formation: migration as a substitute for subsidies," Journal of Public Economics, Elsevier, vol. 86(1), pages 29-46, October.
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