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Emigration and democracy

  • Docquier, Frederic
  • Lodigiani, Elisabetta
  • Rapoport, Hillel
  • Schiff, Maurice

Migration is an important yet neglected determinant of institutions. This paper documents the channels through which emigration affects home country institutions and considers dynamic-panel regressions for a large sample of developing countries. The authors find that emigration and human capital both increase democracy and economic freedom. This implies that unskilled (skilled) emigration has a positive (ambiguous) impact on institutional quality. Simulations show an impact of skilled emigration that is generally positive, significant for a few countries and for many countries once incentive effects of emigration on human capital formation are accounted for.

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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 5557.

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Date of creation: 01 Feb 2011
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Handle: RePEc:wbk:wbrwps:5557
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