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Can Health Foreign Assistance Break the Medical Brain Drain?

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Abstract

This paper analyse the impact of health foreign assistance on physicians' brain drain. We use the database from Bhargava and Docquier (2008) to explain physicians' brain drain and health foreign assistance from 1995 to 2003 using a bilateral gravity equation model. In the first time, we propose to investigate the direct and reverse impact of health assistance through simultaneous equation model with Three-Stage Least Squares (3SLS) methodology and highlight a significant negative effect of health foreign assistance on the medical brain whereas emigration rate of doctor increases the amount of health aid received by recipient countries. In a second time, we analyzed the indirect effect of health aid via epidemics prevalence through the death rate per 1000 people. We find that health aid plays a key role in the improvement of vaccination, treatment and prevention which may reduce death rate and, finally, decreases the physicians emigration rates. These findings confirm the efficiency of health foreign aid to weaken the vicious circle of physicians drain

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  • Yasser Moullan, 2009. "Can Health Foreign Assistance Break the Medical Brain Drain?," Documents de travail du Centre d'Economie de la Sorbonne 09045, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
  • Handle: RePEc:mse:cesdoc:09045
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    Cited by:

    1. Docquier Frédéric & Rapoport Hillel, 2009. "Documenting the Brain Drain of “La Crème de la Crème”: Three Case-Studies on International Migration at the Upper Tail of the Education Distribution," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 229(6), pages 679-705, December.
    2. Ndikumana David Emmanuel & Maria Elo & Rebecca Piekkari, 2019. "Human stickiness as a counterforce to brain drain: Purpose-driven behaviour among Tanzanian medical doctors and implications for policy," Journal of International Business Policy, Palgrave Macmillan, vol. 2(4), pages 314-332, December.

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    More about this item

    Keywords

    International migration; physicians emigration rates; foreign aid; health foreign assistance; simultaneous equation model; Three Stage Least Squares; gravity equation model;
    All these keywords.

    JEL classification:

    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • F35 - International Economics - - International Finance - - - Foreign Aid
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • I1 - Health, Education, and Welfare - - Health
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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