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Human Capital Depletion, Human Capital Formation, and Migration. A Blessing in a "Curse"?

  • Stark, Oded

    (Department of Economics, University of Oslo)

  • Helmenstein, Christian

    (Department of Economics, Institute for Advanced Studies, Vienna)

  • Prskawetz, Alexia

    (Institute for Demography, Austrian Academy of Sciences)

We specify conditions under which a strictly positive probability of employment in a foreign country raises the level of human capital formed by optimizing workers in the home country. While some workers migrate, "taking along" more human capital than if they had migrated without factoring in the possibility of migration (a form of brain drain), other workers stay at home with more human capital than they would have formed in the absence of the possibility of migration (a form of brain gain).

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File URL: http://www.ihs.ac.at/publications/eco/es-55.pdf
File Function: First version, 1998
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Paper provided by Institute for Advanced Studies in its series Economics Series with number 55.

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Length: 7 pages
Date of creation: Jun 1998
Date of revision:
Handle: RePEc:ihs:ihsesp:55
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  1. Oded GALOR & Oded STARK, 1993. "Life Expectancy, Human Capital Formation, and Per-Capita Income," Vienna Economics Papers vie9305, University of Vienna, Department of Economics.
  2. Stark, Oded & Helmenstein, Christian & Prskawetz, Alexia, 1997. "A brain gain with a brain drain," Economics Letters, Elsevier, vol. 55(2), pages 227-234, August.
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