International migration and "educated unemployment"

Chengze, Simon FAN, Oded STARK

Research output: Journal PublicationsJournal Article (refereed)

38 Citations (Scopus)

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.
Original languageEnglish
Pages (from-to)76-87
Number of pages12
JournalJournal of Development Economics
Volume83
Issue number1
DOIs
Publication statusPublished - 1 May 2007

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Keywords

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

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