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Does corruption promote emigration?

Author

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  • Friedrich Schneider

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

Abstract

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 of Labor Economics (IZA), pages 192-192, October.
    • Handle: RePEc:iza:izawol:journl:y:2015:n:192
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    References listed on IDEAS

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    1. Andrea ARIU & Pasquamaria SQUICCIARINI, 2013. "The Balance of Brains: Corruption and High Skilled Migration," LIDAM Discussion Papers IRES 2013010, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    2. repec:pdn:wpaper:67 is not listed on IDEAS
    3. 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.
    4. Méon, Pierre-Guillaume & Weill, Laurent, 2010. "Is Corruption an Efficient Grease?," World Development, Elsevier, vol. 38(3), pages 244-259, March.
    5. 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.
    6. 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.
    7. Mauro, Paolo, 1998. "Corruption and the composition of government expenditure," Journal of Public Economics, Elsevier, vol. 69(2), pages 263-279, June.
    8. George J. Borjas, 2021. "Self-Selection and the Earnings of Immigrants," World Scientific Book Chapters, in: Foundational Essays in Immigration Economics, chapter 4, pages 69-91, World Scientific Publishing Co. Pte. Ltd..
    9. 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.
    10. 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.
    11. Toke S. Aidt, 2003. "Economic analysis of corruption: a survey," Economic Journal, Royal Economic Society, vol. 113(491), pages 632-652, November.
    12. 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.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Artjoms Ivlevs & Roswitha M. King, 2017. "Does emigration reduce corruption?," Public Choice, Springer, vol. 171(3), pages 389-408, June.
    2. Andrea Bernini & Laurent Bossavie & Daniel Garrote-Sánchez & Mattia Makovec, 2024. "Corruption as a push and pull factor of migration flows: evidence from European countries," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 51(1), pages 263-281, February.
    3. Fakih, Ali & El Baba, Malak, 2023. "The Decision to Emigrate in Six MENA Countries: The Role of Post-Revolutionary Stress," IZA Discussion Papers 15933, Institute of Labor Economics (IZA).
    4. Bianca Balsimelli Ghelli & Elton Bequiraj & Marilena Giannetti, 2022. "The impact of corruption on migration flows: evidence from Sub Saharan African countries," Working Papers in Public Economics 232, University of Rome La Sapienza, Department of Economics and Law.
    5. Uchenna EFOBI & Xuan VINH VO & Emmanuel ORKOH, 2022. "Are there wages from “sin”? Working conditions spillover from paying bribe in Vietnam," Small Business Economics, Springer, vol. 58(4), pages 1975-1995, April.
    6. Martin Guzi & Štěpán Mikula, 2022. "Reforms that keep you at home: The effects of economic transition on migration," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 30(2), pages 289-310, April.
    7. Long Thanh Giang & Cuong Viet Nguyen & Hoa Quynh Nguyen, 2020. "The Impacts of Economic Growth and Governance on Migration: Evidence from Vietnam," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 32(4), pages 1195-1229, September.
    8. Yu Qin & Hongjia Zhu, 2018. "Run away? Air pollution and emigration interests in China," Journal of Population Economics, Springer;European Society for Population Economics, vol. 31(1), pages 235-266, January.

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    More about this item

    Keywords

    corruption; emigration; educational attainment; inequality;
    All these keywords.

    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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