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Does corruption promote emigration?


  • Friedrich Schneider

    (Johannes Kepler University, Austria, and IZA, Germany)


Knowing whether corruption leads to higher emigration rates—and among which groups—is important because most labor emigration is from developing to developed countries. If corruption leads highly-skilled and highly-educated workers to leave developing countries, it can result in a shortage of skilled labor and slower economic growth. In turn, this leads to higher unemployment, lowering the returns to human capital and encouraging further emigration. Corruption also shifts public spending from health and education to sectors with less transparency in spending, disadvantaging lower-skilled workers and encouraging them to emigrate.

Suggested Citation

  • Friedrich Schneider, 2015. "Does corruption promote emigration?," IZA World of Labor, Institute for the Study of Labor (IZA), pages 192-192, October.
  • Handle: RePEc:iza:izawol:journl:y:2015:n:192

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    References listed on IDEAS

    1. Axel Dreher & Christos Kotsogiannis & Steve McCorriston, 2009. "How do institutions affect corruption and the shadow economy?," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 16(6), pages 773-796, December.
    2. Oguzhan C. Dincer & Burak Gunalp, 2012. "Corruption And Income Inequality In The United States," Contemporary Economic Policy, Western Economic Association International, vol. 30(2), pages 283-292, April.
    3. Toke S. Aidt, 2003. "Economic analysis of corruption: a survey," Economic Journal, Royal Economic Society, vol. 113(491), pages 632-652, November.
    4. Andrea ARIU & Pasquamaria SQUICCIARINI, 2013. "The Balance of Brains: Corruption and High Skilled Migration," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2013010, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    5. Méon, Pierre-Guillaume & Weill, Laurent, 2010. "Is Corruption an Efficient Grease?," World Development, Elsevier, vol. 38(3), pages 244-259, March.
    6. Sanjeev Gupta & Hamid Davoodi & Rosa Alonso-Terme, 2002. "Does corruption affect income inequality and poverty?," Economics of Governance, Springer, vol. 3(1), pages 23-45, March.
    7. repec:pdn:wpaper:67 is not listed on IDEAS
    8. Eugen Dimant & Tim Krieger & Daniel Meierrieks, 2013. "The effect of corruption on migration,1985--2000," Applied Economics Letters, Taylor & Francis Journals, vol. 20(13), pages 1270-1274, September.
    9. Mauro, Paolo, 1998. "Corruption and the composition of government expenditure," Journal of Public Economics, Elsevier, vol. 69(2), pages 263-279, June.
    10. Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-553, September.
    11. Mendez, Fabio & Sepulveda, Facundo, 2006. "Corruption, growth and political regimes: Cross country evidence," European Journal of Political Economy, Elsevier, vol. 22(1), pages 82-98, March.
    12. Arusha Cooray, 2014. "Who Remits? An Examination of Emigration by Education Level and Gender," The World Economy, Wiley Blackwell, vol. 37(10), pages 1441-1453, October.
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    1. repec:kap:pubcho:v:171:y:2017:i:3:d:10.1007_s11127-017-0442-z is not listed on IDEAS
    2. repec:spr:jopoec:v:31:y:2018:i:1:d:10.1007_s00148-017-0653-0 is not listed on IDEAS

    More about this item


    corruption; emigration; educational attainment; inequality;

    JEL classification:

    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance
    • O5 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements


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