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Brain drain and technological relationship between skilled and unskilled labor: brain gain or brain loss?
Abstract This study analyzes the effect of an increase in the foreign skilled wage rate on the emigration and education decisions of individuals in the home economy. An increase in the foreign skilled wage rate encourages emigration of skilled workers out of the home country, while possible increase in the supply of skilled labor in the home depends on the technological relationship between skilled and unskilled labor in production. Although the average education level will rise when they are complements, the average education level may not necessarily be raised when they are substitutes.
Brain drain and technological relationship between skilled and unskilled labor: brain gain or brain loss?
Abstract This study analyzes the effect of an increase in the foreign skilled wage rate on the emigration and education decisions of individuals in the home economy. An increase in the foreign skilled wage rate encourages emigration of skilled workers out of the home country, while possible increase in the supply of skilled labor in the home depends on the technological relationship between skilled and unskilled labor in production. Although the average education level will rise when they are complements, the average education level may not necessarily be raised when they are substitutes.
Brain drain and technological relationship between skilled and unskilled labor: brain gain or brain loss?
Fan, Xiaofeng (author) / Yakita, Akira (author)
2010
Article (Journal)
English
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