1241. Skilled Emigration and Skill Creation: A quasi-experiment
- Author:
- Satish Chand and Michael Clemens
- Publication Date:
- 09-2008
- Content Type:
- Working Paper
- Institution:
- Center for Global Development
- Abstract:
- Does the emigration of highly-skilled workers deplete local human capital? The answer is not obvious if migration prospects induce human capital formation. We analyze a unique natural quasi-experiment in the Republic of the Fiji Islands, where political shocks have provoked one of the largest recorded exoduses of skilled workers from a developing country. Mass emigration began unexpectedly and has occurred only in a well-defined subset of the population, creating a treatment group that foresaw likely emigration and two different quasi-control groups that did not. We use rich census and administrative micro data to address a range of concerns about experimental validity. This allows plausible causal attribution of post-shock changes in human capital accumulation to changes in emigration patterns. We show that high rates of emigration by tertiary-educated Fiji Islanders not only raised investment in tertiary education in Fiji; they moreover raised the stock of tertiary educated people in Fiji—net of departures.
- Topic:
- International Relations, Education, Markets, and Migration
- Political Geography:
- Asia and Australia/Pacific