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Public education in an integrated Europe: Studying to migrate and teaching to stay?

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  • Poutvaara, Panu

Abstract

An increasing international applicability of a given type of education encourages students to invest more effort when studying. Governments, on the other hand, face an incentive to divert the provision of public education away from internationally applicable education toward country-specific skills. This would mean educating too few engineers, economists and doctors, and too many lawyers. If the total tax rate is kept constant, then replacing part of existing wage taxes with graduate taxes or income-contingent loans, collected also from migrants, would improve efficiency. It could even allow for a Pareto-improvement. --

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Bibliographic Info

Paper provided by ZEI - Center for European Integration Studies, University of Bonn in its series ZEI Working Papers with number B 03-2005.

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Date of creation: 2005
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Handle: RePEc:zbw:zeiwps:b032005

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Related research

Keywords: Public education; Migration; Brain drain and brain gain; European Union;

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References

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  1. Thum, Claudio & Uebelmesser, Silke, 2003. "Mobility and the Role of Education as a Commitment Device," International Tax and Public Finance, Springer, vol. 10(5), pages 549-64, September.
  2. Beine, Michel & Docquier, Frederic & Rapoport, Hillel, 2001. "Brain drain and economic growth: theory and evidence," Journal of Development Economics, Elsevier, vol. 64(1), pages 275-289, February.
  3. Keen, M. & Marchand, M., . "Fiscal competition and the pattern of public spending," CORE Discussion Papers RP -1284, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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  6. Michael J. Keen & Christos Kotsogiannis, 2002. "Does Federalism Lead to Excessively High Taxes?," American Economic Review, American Economic Association, vol. 92(1), pages 363-370, March.
  7. Richter, Wolfram F., 2002. "Social Security and Taxation of Labour Subject to Subsidiarity and Freedom of Movement," IZA Discussion Papers 490, Institute for the Study of Labor (IZA).
  8. Alexander Haupt & Eckhard Janeba, 2009. "Education, redistribution and the threat of brain drain," International Tax and Public Finance, Springer, vol. 16(1), pages 1-24, February.
  9. Panu Poutvaara, 2004. "Educating Europe," CESifo Working Paper Series 1114, CESifo Group Munich.
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  11. 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.
  12. Sinn, Hans-Werner, 1994. "How Much Europe? Subsidiarity, Centralization and Fiscal Competition," Scottish Journal of Political Economy, Scottish Economic Society, vol. 41(1), pages 85-107, February.
  13. Mihir A. Desai & Devesh Kapur & John McHale, 2004. "Sharing the Spoils: Taxing International Human Capital Flows," International Tax and Public Finance, Springer, vol. 11(5), pages 663-693, 09.
  14. 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.
  15. Stark, Oded & Helmenstein, Christian & Prskawetz, Alexia, 1997. "A Brain Gain with a Brain Drain," Economics Series 45, Institute for Advanced Studies.
  16. Andersson, Fredrik & Konrad, Kai A, 2003. "Globalization and Risky Human-Capital Investment," International Tax and Public Finance, Springer, vol. 10(3), pages 211-28, May.
  17. Milton Friedman & Simon Kuznets, 1954. "Income from Independent Professional Practice," NBER Books, National Bureau of Economic Research, Inc, number frie54-1.
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Citations

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Cited by:
  1. Fabio Mariani, 2007. "Migration as an antidote to rent-seeking?," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00186460, HAL.
  2. Docquier, Frédéric, 2006. "Brain Drain and Inequality Across Nations," IZA Discussion Papers 2440, Institute for the Study of Labor (IZA).
  3. Alessio Biondo, 2012. "What’s up after brain drain? Sometimes, somewhere, someone comes back: a general model of return migration," International Review of Economics, Springer, vol. 59(3), pages 269-284, September.
  4. Marcel Gérard, 2008. "Financing Bologna, the Internationally Mobile Students in European Higher Education," CESifo Working Paper Series 2391, CESifo Group Munich.
  5. Jens Südekum, 2005. "The Pitfalls of Regional Education Policy," FinanzArchiv: Public Finance Analysis, Mohr Siebeck, Tübingen, vol. 61(3), pages 327-, November.
  6. Lydia Mechtenberg & Roland Strausz, 2008. "The Bologna process: how student mobility affects multi-cultural skills and educational quality," International Tax and Public Finance, Springer, vol. 15(2), pages 109-130, April.
  7. Elise Brezis & Ariel Soueri, 2011. "Why do Students Migrate? Where do they Migrate to?," Working Papers 25, AlmaLaurea Inter-University Consortium.
  8. Schwager, Robert, 2007. "Public Universities, Tuition and Competition: A Tiebout Model," ZEW Discussion Papers 07-056, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  9. Hartmut Egger & Josef Falkinger & Volker Grossmann, 2012. "Brain Drain, Fiscal Competition, and Public Education Expenditure," Review of International Economics, Wiley Blackwell, vol. 20(1), pages 81-94, 02.
  10. Christopher-Johannes Schild & Matthias Wrede, 2010. "Cultural Identity, Mobility, and Decentralization," MAGKS Papers on Economics 201016, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
  11. Elise S. Brezis & Ariel Soueri, 2012. "Globalization and Migration: A “Unified Brain Drain” Model," Working Papers 2012-15, Department of Economics, Bar-Ilan University.
  12. Baskaran, Thushyanthan & Hessami, Zohal, 2010. "Globalization and the Composition of Public Education Expenditures: A Dynamic Panel Analysis," MPRA Paper 25750, University Library of Munich, Germany.
  13. Elise S. Brezis & Ariel Soueri, 2013. "Mobility of Students and Quality of Higher Education: An Empirical Analysis of the “Unified Brain Drain” Model," Working Papers 2013-11, Department of Economics, Bar-Ilan University.
  14. Oprean, Victor-Bogdan, 2012. "Sustainability of the Romanian Social Security System. The Burden of Education," MPRA Paper 41432, University Library of Munich, Germany.

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