Human Capital Flight

Human Capital Flight
Author: International Monetary Fund
Publisher: International Monetary Fund
Total Pages: 40
Release: 1994-12-01
Genre: Business & Economics
ISBN: 1451921330

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This paper analyses the impact of government tax and subsidy policy on immigration of human capital and the effect of such immigration on growth and incomes. In the context of a two-country endogenous growth model with heterogeneous agents and human capital accumulation, we argue that human capital flight or “brain drain” arising out of wage differentials, say because of differences in income tax rates or technology, can bring about a reduction in the steady state growth rate of the country of emigration. Additionally, permanent difference in the growth rates as well as incomes between the two countries can occur making convergence unlikely. While in a closed economy, tax-financed increases in subsidy to education can have a positive effect on growth, such a policy can have a negative effect on growth when human capital flight is taking place. Since subsidizing higher education is more likely to induce substantial brain drain, it is likely to be inferior to subsidy to lower levels of education if growth is to be increased.

Trade and Human Capital Accumulation

Trade and Human Capital Accumulation
Author: Dörte Dömeland
Publisher: World Bank Publications
Total Pages: 54
Release: 2007
Genre: Comparative Advantage
ISBN:

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This study provides empirical evidence that trade increases on-the-job human capital accumulation by estimating the effect of home country openness on estimated returns to home country experience of U.S. immigrants. The positive effect of trade on on-the-job human capital accumulation remains significant when controlling for GDP, educational attainment, and institutional quality. It is not the result of self-selection, heterogeneity in returns to experience, English-speaking origin, or cultural background. The effect persists when restricting the sample to non-OECD countries, thereby resolving the theoretical ambiguity of whether trade increases or decreases learning-by-doing. The role of trade in generating economic growth is therefore likely to be more important than generally considered.

Migration, Human Capital and Development

Migration, Human Capital and Development
Author: Oded Stark
Publisher: JAI Press(NY)
Total Pages: 200
Release: 1986
Genre: Business & Economics
ISBN: 9780892324163

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Research papers, migration, human capital, economic and social development, theory, Southern Africa, Mexico, USA - labour market, transferable skill, return migration, trade, international migration, brain drain, temporary workers, unskilled workers, skilled workers, irregular migrants, home country, host country, wage differential, miners, agricultural development, rural migration, urbanization, household, family, information source, decision making. Graphs, references, statistical tables. ILO mentioned.

Migration and Human Capital

Migration and Human Capital
Author: Jacques Poot
Publisher: Edward Elgar Publishing
Total Pages: 0
Release: 2008
Genre: Emigration and immigration
ISBN: 9781847200846

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Throughout the world, migration is an increasingly important and diverse component of population change, both at national and sub-national levels. Migration impacts on the distribution of knowledge and generates externalities and spillover effects. This book focuses on recent models and methods for analysing and forecasting migration, as well as on the basic trends, driving factors and institutional settings behind migration processes. Migration and Human Capital also looks at many current policy issues regarding migration, such as the creative class in metropolitan areas, the brain drain, regional diversity, population ageing, illegal immigration, ethnic networks and immigrant assimilation. With specific reference to Europe and North America, the book reviews and applies models of internal migration; analyses the spatial concentration of human capital; considers migration in a family context; and addresses the political economy of international migration. This book will be invaluable for researchers and policy makers in the fields of internal and international migration. It provides up-to-date readings for advanced courses that focus on migration and population change in a global context.

Interregional Human Capital Migration, Human Capital Accumulation and Regional Economic Disparities

Interregional Human Capital Migration, Human Capital Accumulation and Regional Economic Disparities
Author: Shang-ao Li
Publisher:
Total Pages: 40
Release: 2016
Genre:
ISBN:

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In this study, an economic growth model that includes both developed and less-developed regions was constructed and the relationships between the interregional migration of human capital, regional economic disparities and aggregate economic growth were investigated. In the two regions, human capital was independently accumulated when it migrated from the less-developed region to the developed region in pursuit of higher wage income, generating costs during the migration process. In this study, the effect of human capital accumulation and human capital migration on regional economic equilibrium and the aggregate economic equilibrium was analyzed, result in the following conclusions: (i) human capital accumulation promotes steady growth in both the regional and the aggregate economy; (ii) the migration of human capital to developed regions promotes local economic growth, whereas the migration of human capital from less-developed regions hinders local economic growth; and (iii) the accumulation and interregional migration of human capital lead to expanded regional economic disparities. Therefore, coordinating regional economic development and promoting steady aggregate economic growth are regional economic policy priorities.

Migration and the Transfer of Informal Human Capital

Migration and the Transfer of Informal Human Capital
Author: Izabela Grabowska
Publisher: Routledge
Total Pages: 120
Release: 2022-01-10
Genre: Social Science
ISBN: 1000518078

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This book explores the intangible human capital which international migrants bring with them and develop further when working and living abroad, drawing on case studies and original data from Central Europe and Mexico–USA. The book demonstrates that despite the fact that many international migrants might be working in their destination countries at a level below their formal qualifications, or else might be formally unskilled, but with practical non-validated skills, they can still acquire and enhance considerable informal human capital in the form of mind skills, soft skills, maker skills and life skills. The book analyses how migration-impacted informal human capital (MigCap) is acquired and enhanced as a result of international migration and what the opportunity and constraint structures are for their acquisitions and transfers. Adopting a comprehensive perspective, the book investigates how migration-impacted informal human capital is transferred by migrants between localities and areas of human actions and activities. Moving beyond the focus on migration as a source of economic capital, this book demonstrates that learning by observing, communicating and doing with others, embedded in social relations can facilitate the enhancement of intangible human capital among both skilled and unskilled migrants. It will be of interest to researchers of migration, sociology, economics, management and business studies, and other related social science disciplines.

Moving for Prosperity

Moving for Prosperity
Author: World Bank
Publisher: World Bank Publications
Total Pages: 407
Release: 2018-06-14
Genre: Business & Economics
ISBN: 1464812829

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Migration presents a stark policy dilemma. Research repeatedly confirms that migrants, their families back home, and the countries that welcome them experience large economic and social gains. Easing immigration restrictions is one of the most effective tools for ending poverty and sharing prosperity across the globe. Yet, we see widespread opposition in destination countries, where migrants are depicted as the primary cause of many of their economic problems, from high unemployment to declining social services. Moving for Prosperity: Global Migration and Labor Markets addresses this dilemma. In addition to providing comprehensive data and empirical analysis of migration patterns and their impact, the report argues for a series of policies that work with, rather than against, labor market forces. Policy makers should aim to ease short-run dislocations and adjustment costs so that the substantial long-term benefits are shared more evenly. Only then can we avoid draconian migration restrictions that will hurt everybody. Moving for Prosperity aims to inform and stimulate policy debate, facilitate further research, and identify prominent knowledge gaps. It demonstrates why existing income gaps, demographic differences, and rapidly declining transportation costs mean that global mobility will continue to be a key feature of our lives for generations to come. Its audience includes anyone interested in one of the most controversial policy debates of our time.