Brain Drain, Remittances, and Fertility

Luca Marchiori (luca.marchiori@bcl.lu), Patrice Pieretti and Benteng Zou

DEM Discussion Paper Series from Department of Economics at the University of Luxembourg

Abstract: This paper analyzes the effects of skilled migration and remittances on fertility decisions at origin. We develop an overlapping generations model which accounts for endogenous fertility and education. Parents choose the number of children they want to raise and decide upon how many children obtain higher education. Only high skilled individuals migrate with a certain probability and remit to their parents. We find that an increase in the probability to emigrate leads both high and low skilled parents to send more children to obtain higher education. However the effect on the number of children is ambiguous. In a further analysis, we calibrate the model to match different characteristics of a developing economy. When the destination country relaxes the immigration restrictions, more high skilled individuals leave the origin country. The result is that, at origin, increased high skilled emigration reduces fertility and fosters human capital accumulation.

JEL-codes: F22 F24 J13 J24 (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (6)

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Related works:
Working Paper: Brain drain, remittances, and fertility (2011)
Journal Article: Brain Drain, Remittances, and Fertility (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:luc:wpaper:08-04

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