Brains for Capital. The Effect of Brain Drain on Investments and Convergence

Piotr Stryszowski (piotr.stryszowski@oecd.org)

DEGIT Conference Papers from DEGIT, Dynamics, Economic Growth, and International Trade

Abstract: The empirical experience of countries hit by brain drain shows no clear impact of human capital outflow on the source economy. This study shows that by triggering the capital flows from abroad, the brain can be beneficial for the sending countries. The theoretical claim about the causal effect of brain drain on capital flows is supported by empirical analysis.

Keywords: Economic Growth; Technological Change; Brain Drain; FDI (search for similar items in EconPapers)
JEL-codes: F21 F22 O15 O30 (search for similar items in EconPapers)
Pages: 17 pages
Date: 2006-06
New Economics Papers: this item is included in nep-afr and nep-dev
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