 Skilled emigration in a world of varietySubhasree Basak and Kausik Gupta Research in Economics, 2024, vol. 78, issue 3 Abstract: Upgradation of export product quality and product diversification are two crucial determinants of the economic growth of developing countries. Both depend heavily on the endowment and quality of the skilled labor. However, one of the challenges developing countries face is the emigration of skilled labor. In this paper, we intend to explore the effect of skilled labor emigration on the export product quality, the number of varieties produced (extensive margin), and the amount of production (intensive margin). To do so, we provide a theoretical framework followed by empirical evidence. Results suggest that export product quality deteriorates with an outflow of skilled labor. Moreover, the number of varieties produced by the domestically specialized manufacturing or domestic service sectors falls but the total amount of production increases. This product diversification at the domestic level has a similar impact on export diversification when we have skilled emigration. The theoretical results have been examined empirically in this paper. Keywords: Export quality; Emigration; Export diversification (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:reecon:v:78:y:2024:i:3:s1090944324000437 DOI: 10.1016/j.rie.2024.100979 Access Statistics for this article Research in Economics is currently edited by Federico Etro More articles in Research in Economics from Elsevier |
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