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Stark, Oded; Fan, C. Simon. |
A framework that yields different possible patterns of migration as optimal solutions to a simple utility maximization problem is presented and explored. It is shown that seasonal migration arises as an optimal endogenous response to a comparison of costs (of living and of separation) and returns (to work) over a set of three alternative options, even if a year-long migration is feasible. |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital. |
Ano: 2007 |
URL: http://purl.umn.edu/7124 |
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Stark, Oded; Fan, C. Simon. |
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 perspective 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. |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital. |
Ano: 2006 |
URL: http://purl.umn.edu/7126 |
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Stark, Oded; Fan, C. Simon. |
Quite often, migrants appear to exert little effort to absorb the mainstream culture and to learn the language of their host society, even though the economic returns (increased productivity and enhanced earnings) to assimilation are high. We show that when interpersonal comparisons affect individuals' wellbeing and when a more intensive assimilation results in migrants' comparing themselves more with the richer natives and less with fellow migrants, then the effort extended to assimilate will be muted. |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital. |
Ano: 2006 |
URL: http://purl.umn.edu/7125 |
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Stark, Oded; Fan, C. Simon. |
A new general-equilibrium model that links together rural-to-urban migration, the externality effect of the average level of human capital, and agglomeration economies shows that in developing countries, unrestricted rural-to-urban migration reduces the average income of both rural and urban dwellers in equilibrium. Various measures aimed at curtailing rural-to-urban migration by unskilled workers can lead to a Pareto improvement for both the urban and rural dwellers. In addition, the government can raise social welfare by reducing the migration of skilled workers to the city. Moreover, without a restriction on rural-to-urban migration, a government’s efforts to increase educational expenditure and thereby the number of skilled workers may not increase... |
Tipo: Working or Discussion Paper |
Palavras-chave: Community/Rural/Urban Development; Labor and Human Capital. |
Ano: 2007 |
URL: http://purl.umn.edu/7116 |
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Stark, Oded; Fan, C. Simon. |
An increase in the probability of work abroad, where the returns to schooling are higher than at home, induces more individuals in a developing country to acquire education, which leads to an increase in the supply of educated workers in the domestic labor market. Where there is a sticky wage-rate, the demand for labor at home will be constant. With a rising supply and constant demand, the rate of unemployment of educated workers in the domestic labor market will increase. Thus, the prospect of employment abroad causes involuntary “educated unemployment” at home. A government that is concerned about “educated unemployment” and might therefore be expected to encourage unemployed educated people to migrate will nevertheless, under certain conditions, elect... |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital; E24; F22; J24; O15. |
Ano: 2011 |
URL: http://purl.umn.edu/98572 |
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Stark, Oded; Fan, C. Simon. |
Extending both the "harmful brain drain" literature and the "beneficial brain gain" literature, this paper analyzes both the negative and the positive impact of migration by skilled individuals in a unified framework. The paper extends the received literature on the "harmful brain drain" by showing that in the short run, international migration can result in "educated unemployment" and overeducation in developing countries, as well as a brain drain from these countries. A simulation suggests that the costs of "educated unemployment" and overeducation can amount to significant losses for the individuals concerned, who may constitute a substantial proportion of the educated individuals. Adopting a dynamic framework, it is then shown that due to the positive... |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital. |
Ano: 2007 |
URL: http://purl.umn.edu/7122 |
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Stark, Oded; Fan, C. Simon. |
This paper synthesizes and extends recent research on "The New Economics of the Brain Drain." In a unified framework, the paper shows that while recently identified adverse repercussions of the brain drain exacerbate the long-recognized negative impacts of the brain drain, longer-term consequences turn the brain drain into the harbinger of powerful gains. These gains have been studied already in recent research, or merit attention in future research. |
Tipo: Working or Discussion Paper |
Palavras-chave: Labor and Human Capital. |
Ano: 2007 |
URL: http://purl.umn.edu/7121 |
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