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Diaspora Externalities and Technology Diffusion

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  • Elisabetta Lodigiani

Abstract

In this paper, we analyze how skilled migration contributes to TFP growth in the sending countries when diaspora effects in technology diffusion are introduced. To investigate this issue, we start from a previous paper by Vandenbussche, Aghion and Meghir (2006), who examine the contribution of human capital to economic growth theoretically and empirically. By using a panel dataset covering 19 OECD countries between 1960 and 2000, they show that a marginal increase in the stock of skilled human capital contributes to productivity growth the closer a state is to the technological frontier. In this framework, we also consider the impact of a positive externality in the adoption sector from skilled migration. By using a panel dataset covering 92 countries, including both developed and developing nations, between 1980 and 2000, we reconfi rm Vandenbussche et al.’s findings. Additionally, we show that migration increases growth in areas far from the frontier.

Suggested Citation

  • Elisabetta Lodigiani, 2008. "Diaspora Externalities and Technology Diffusion," Economie Internationale, CEPII research center, issue 115, pages 43-64.
  • Handle: RePEc:cii:cepiei:2008-3tb
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    File URL: http://www.cepii.fr/IE/rev115/ei115b.htm
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    Cited by:

    1. Luca Marchiori & I-Ling Shen & Frédéric Docquier, 2013. "Brain Drain In Globalization: A General Equilibrium Analysis From The Sending Countries' Perspective," Economic Inquiry, Western Economic Association International, vol. 51(2), pages 1582-1602, April.
    2. Elisabetta Lodigiani & Luca Marchiori & I-Ling Shen, 2016. "Revisiting the Brain Drain Literature with Insights from a Dynamic General Equilibrium World Model," The World Economy, Wiley Blackwell, vol. 39(4), pages 557-573, April.
    3. Jean Fouré & Agnès Bénassy-Quéré & Lionel Fontagné, 2012. "The Great Shift : Macroeconomic projections For the World Economy at the 2050 Horizon," Working Papers hal-00962464, HAL.
    4. Jean Fouré & Agnès Bénassy-Quéré & Lionel Fontagné, 2012. "The Great Shift: Macroeconomic projections for the world economy at the 2050 horizon," Working Papers 2012-03, CEPII research center.
    5. Bang, James T. & Mitra, Aniruddha, 2011. "Brain drain and institutions of governance: Educational attainment of immigrants to the US 1988-1998," Economic Systems, Elsevier, vol. 35(3), pages 335-354, September.

    More about this item

    Keywords

    Economic growth; imitation; innovation; migration; brain drain; diaspora;

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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