International migration and "educated unemployment"

Authors

Chengze, Simon FAN, Lingnan University, Hong Kong
Oded STARK, University of Bonn, Germany, University of Klagenfurt, Austria, University of Vienna, Austria, Warsaw University, Poland, and ESCE Economic and Social Research Center, AustriaFollow

Document Type

Journal article

Source Publication

Journal of Development Economics

Publication Date

5-1-2007

Volume

83

Issue

1

First Page

76

Last Page

87

Keywords

"Educated unemployment", Beneficial brain drain, Human capital formation, International migration

Abstract

This paper provides a novel explanation of "educated unemployment", which is a salient feature of the labor markets in a number of developing countries. In a simple job-search framework we show that "educated unemployment" is caused by the prospect of international migration, that is, by the possibility of a "brain drain". In addition, the analysis shows that a developing country may end up with more educated workers despite the brain drain and educated unemployment.

DOI

10.1016/j.jdeveco.2006.05.002

Print ISSN

03043878

E-ISSN

18726089

Publisher Statement

Copyright © 2006 Elsevier B.V.

Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Fan, C. S., & Stark, O. (2007). International migration and "educated unemployment". Journal of Development Economics, 83(1), 76-87. doi: 10.1016/j.jdeveco.2006.05.002