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Migration and Human Capital in an Endogenous Fertility Model

  • Luca MARCHIORI
  • Patrice PIERETTI
  • Benteng ZOU

What is the impact of high-skilled emigration on fertility and human capital in migrants' origin countries? This question is analyzed within an overlapping generations model where parents choose to finance higher education for a certain number of their children. It follows that families are composed of high-and low-skilled children who may both emigrate with a certain probability when they reach adulthood. It is found that a brain drain leads to a change in children's skill composition, with parents choosing to provide higher education to a larger number of their children. A calibration of the model suggests that, following a brain drain, the additional children benefiting from higher education might in the long run compensate for the loss of high-educated workers and lead to a brain gain.

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File URL: http://www.jstor.org/stable/41219115
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Article provided by ENSAE in its journal Annals of Economics and Statistics.

Volume (Year): (2010)
Issue (Month): 97-98 ()
Pages: 187-205

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Handle: RePEc:adr:anecst:y:2010:i:97-98:p:09
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  1. Faini, Riccardo, 2006. "Remittances and the Brain Drain," IZA Discussion Papers 2155, Institute for the Study of Labor (IZA).
  2. Yoko NIIMI & Caglar OZDEN & Maurice SCHIFF, 2010. "Remittances and the Brain Drain: Skilled Migrants Do Remit Less," Annales d'Economie et de Statistique, ENSAE, issue 97-98, pages 123-141.
  3. Matthias Doepke, 2005. "Child mortality and fertility decline: Does the Barro-Becker model fit the facts?," Journal of Population Economics, Springer, vol. 18(2), pages 337-366, 06.
  4. Docquier, Frédéric, 2006. "Brain Drain and Inequality Across Nations," IZA Discussion Papers 2440, Institute for the Study of Labor (IZA).
  5. Stark, Oded & Wang, Yong, 2001. "Inducing Human Capital Formation: Migration as a Substitute for Subsidies," Economics Series 100, Institute for Advanced Studies.
  6. DE LA CROIX, David & DOEPKE, Matthias, 2001. "Inequality and Growth : Why Differential Fertility Matters," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2001008, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
  7. Robert Haveman & Barbara Wolfe, 1995. "The Determinants of Children's Attainments: A Review of Methods and Findings," Journal of Economic Literature, American Economic Association, vol. 33(4), pages 1829-1878, December.
  8. Hung-Ju Chen, 2006. "International migration and economic growth: a source country perspective," Journal of Population Economics, Springer, vol. 19(4), pages 725-748, October.
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