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Brain Gain or Brain Waste? The Performance of Return Labor Migrants in the Ukrainian Labor Market

Listed author(s):
  • Kupets Olga

    ()

Return migration is an important channel through which international labor migration can have a direct positive effect on development of the sending country. Using the unique individual-level data set, this study identifies the main characteristics of return labor migration to Ukraine and analyzes the economic activities chosen by migrants after their return. Return migration to Ukraine is of limited scale, and it often occurs due to the temporary nature of employment abroad, family reasons or failed migration experience. Applying a multinomial probit model, we find that return migrants are more likely to find employment in the non-farm informal sector than in the formal sector compared to nonmigrants but this effect becomes insignificant when we correct for the sample selection into return migration. At the same time, return migrants are found to have higher probability of being nonemployed and this effect is stronger among returnees with re-migration intention. Overall, there is no strong evidence of “brain gain” from return labor migration in Ukraine.

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Paper provided by EERC Research Network, Russia and CIS in its series EERC Working Paper Series with number 11/06e.

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Date of creation: 06 Nov 2011
Handle: RePEc:eer:wpalle:11/06e
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  1. Lehmann, Hartmut & Pignatti, Norberto, 2007. "Informal Employment Relationships and Labor Market Segmentation in Transition Economies: Evidence from Ukraine," IZA Discussion Papers 3269, Institute for the Study of Labor (IZA).
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  17. Zhao, Yaohui, 2002. "Causes and Consequences of Return Migration: Recent Evidence from China," Journal of Comparative Economics, Elsevier, vol. 30(2), pages 376-394, June.
  18. Catherine Y. Co & Ira N. Gang & Myeong-Su Yun, 2000. "Returns to returning," Journal of Population Economics, Springer;European Society for Population Economics, vol. 13(1), pages 57-79.
  19. Seth R. Gitter & Robert J. Gitter & Douglas Southgate, 2008. "The Impact of Return Migration to Mexico," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 23(1), pages 3-23.
  20. Harris, John R & Todaro, Michael P, 1970. "Migration, Unemployment & Development: A Two-Sector Analysis," American Economic Review, American Economic Association, vol. 60(1), pages 126-142, March.
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