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Linkage between emigration and export flows: The case of Bangladesh

Author

Listed:
  • Muhammad Shariat Ullah

    (Associate Professor, Department of Management, University of Dhaka, Dhaka 1000, Bangladesh.)

  • Mohammad Thoufiqul Islam

    (Associate Professor, Department of Management, University of Dhaka, Dhaka 1000, Bangladesh.)

Abstract

This paper applies the well-known gravity model to empirically assess the linkage between emigration and export flows of a developing country. Econometric analysis of panel data unveils a significant substituting relationship between export flows from the source country and stock of emigrants to the destination country. This result not only contradicts with existing literature but also justifies manifold relationship between goods and manpower exports. Economic policy as well as foreign policy in Bangladesh must address this inherent relationship between export of goods and labor since emigration of unskilled labor largely depends on bilateral diplomatic relations whereas export patterns depend on comparative cost advantage.

Suggested Citation

  • Muhammad Shariat Ullah & Mohammad Thoufiqul Islam, 2016. "Linkage between emigration and export flows: The case of Bangladesh," Journal of Economic and Financial Studies (JEFS), LAR Center Press, vol. 4(1), pages 55-61, February.
  • Handle: RePEc:lrc:lareco:v:4:y:2016:i:1:p:55-61
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    References listed on IDEAS

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    Cited by:

    1. Hatzigeorgiou, Andreas & Lodefalk, Magnus, 2018. "Anti-Migration as a Threat to Internationalization? A Review of the Migration-Internationalization Literature," GLO Discussion Paper Series 287, Global Labor Organization (GLO).
    2. Hatzigeorgiou, Andreas & Lodefalk, Magnus, 2018. "Do Migrants Facilitate Internationalization? A Review of the Literature," Working Papers 2018:11, Örebro University, School of Business, revised 19 Dec 2019.

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    More about this item

    Keywords

    Emigration; Export; Complementary; Gravity model; Substitution.;
    All these keywords.

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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