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On The Mechanics Of The Brain-Drain Reduction In Poorest Developing Countries

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  • DIANA LOUBAKI

    () (Universite Catholique de Louvain)

Abstract

This article examines how endogenous human capital of the developed countries expressed by professors trained there and endogenous human capital of the developing countries expressed by their students, interact in the developing country's education sector to create higher quality goods. Private and public incentives to invest in human capital accumulation finance the employment of the skilled labor in the education sector, while non rival technology is a by-product of the education process. Both the optimal and the competitive equilibria define the efficient point able to lead the economy to the long-run growth. This point is also the locus where knowledge call policy as the required efficiency to reduce the brain drain phenomenon. Indeed, the model provides theoretical foundations of the relative lack of the high skilled labor in developing countries.

Suggested Citation

  • Diana Loubaki, 2012. "On The Mechanics Of The Brain-Drain Reduction In Poorest Developing Countries," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 37(3), pages 75-106, September.
  • Handle: RePEc:jed:journl:v:37:y:2012:i:3:p:75-106
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    References listed on IDEAS

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    Cited by:

    1. Edward Nissan & Farhang Niroomand, 2015. "Gender and Spatial Educational Attainment Gaps in Turkey," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 5(1), pages 102-109, January.

    More about this item

    Keywords

    : Absorption Cost; Abroad Trained Professor; Domestic Trained Professor; Private Education; Public Education;

    JEL classification:

    • E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis

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