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Emigration and performance of developing countries

(2018)

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Aissa_43231000_2018.pdf
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Aissa_43231000_2018_Annexe1.pdf
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Abstract
In this study, we focus on the effect of skill-biased emigration on development. The literature has showed evidence that emigration rates tend to increase with economic development. Therefore, the analysis will be emphasized on those countries. In order to assess the effect of emigration, we use a Development Accounting model based on a CES specification and we use cross-sectional data for the year 2010 to simulate no-migration counterfactuals for each country to compare the levels of income per capita. After including the compensating mechanisms identified in the economic literature to the framework, the results show that developing countries are the main beneficiaries of skilled-biased emigration. However, a few poorest countries, mainly from Africa, still suffer from substantial losses in terms of income per capita.