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Studying Abroad and the Effect on International Labour Market Mobility: Evidence from the Introduction of ERASMUS

Listed author(s):
  • Matthias Parey
  • Fabian Waldinger

We investigate the effect of studying abroad on international labour market mobility later in life for university graduates. We exploit the introduction and expansion of the European ERASMUS student exchange programme as an instrument for studying abroad. We find that studying abroad increases an individual's probability of working in a foreign country by about 15 percentage points. We investigate heterogeneity in returns according to parental education and the student's financial situation. Furthermore, we suggest mechanisms through which the effect of studying abroad may operate.

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File URL: http://hdl.handle.net/10.1111/j.1468-0297.2010.02369.x
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Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 121 (2011)
Issue (Month): 551 (March)
Pages: 194-222

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Handle: RePEc:ecj:econjl:v:121:y:2011:i:551:p:194-222
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  1. Silke Uebelmesser, 2006. "To Go or Not to Go: Emigration from Germany," German Economic Review, Verein für Socialpolitik, vol. 7, pages 211-231, 05.
  2. Sascha O. Becker & Andrea Ichino & Giovanni Peri, 2004. "How Large Is the "Brain Drain" from Italy?," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 63(1), pages 1-32, April.
  3. Yolanda K. Kodrzycki, 2001. "Migration of recent college graduates: evidence from the National Longitudinal Survey of Youth," New England Economic Review, Federal Reserve Bank of Boston, pages 13-34.
  4. Kling, Jeffrey R, 2001. "Interpreting Instrumental Variables Estimates of the Returns to Schooling," Journal of Business & Economic Statistics, American Statistical Association, vol. 19(3), pages 358-364, July.
  5. W. A. V. Clark, 1985. "Human Migration," Book Chapters,in: Grant I. Thrall (ed.), Scientific Geography, pages 51 Regional Research Institute, West Virginia University.
  6. Dreher, Axel & Poutvaara, Panu, 2005. "Student Flows and Migration: An Empirical Analysis," IZA Discussion Papers 1612, Institute for the Study of Labor (IZA).
  7. Axel Dreher & Panu Poutvaara, 2005. "Student Flows and Migration: An Empirical Analysis�," TWI Research Paper Series 8, Thurgauer Wirtschaftsinstitut, Universit�t Konstanz.
  8. 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.
  9. Greenwood, Michael J, 1975. "Research on Internal Migration in the United States: A Survey," Journal of Economic Literature, American Economic Association, vol. 13(2), pages 397-433, June.
  10. repec:brs:ecchap:12 is not listed on IDEAS
  11. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-475, March.
  12. Stock, James H & Wright, Jonathan H & Yogo, Motohiro, 2002. "A Survey of Weak Instruments and Weak Identification in Generalized Method of Moments," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(4), pages 518-529, October.
  13. 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.
  14. Hessel Oosterbeek & Dinand Webbink, 2011. "Does Studying Abroad Induce a Brain Drain?," Economica, London School of Economics and Political Science, vol. 78(310), pages 347-366, 04.
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