Does corruption promote emigration? An empirical examination

Cooray, Arusha, and Schneider, Friedrich (2016) Does corruption promote emigration? An empirical examination. Journal of Population Economics, 29 (1). pp. 293-310.

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This paper investigates the effects of corruption on the emigration rate of low-, medium- and high-skilled individuals at the country level. Fixed-effects, system generalized method of moments (GMM) and instrumental variable estimations are used to establish a causal relationship between emigration and corruption. The empirical results indicate that as corruption increases, the emigration rate of high-skilled migrants also increases. The emigration rate of individuals with low and medium levels of educational attainment, however, increases at low levels of corruption and then decreases beyond a threshold of 3.4–4.0, where corruption is measured on a scale of 0 (not corrupt) to 10 (totally corrupt). Splitting the sample by income inequality suggests that increased inequality reduces the ability for medium- and low-skilled migrants to emigrate. Therefore, government action should focus on controlling corruption in order to prevent a brain drain.

Item ID: 69198
Item Type: Article (Research - C1)
ISSN: 1432-1475
Keywords: Corruption, Educational attainment, Emigration
Copyright Information: © Springer-Verlag Berlin Heidelberg 2015
Date Deposited: 21 Sep 2021 00:17
FoR Codes: 38 ECONOMICS > 3801 Applied economics > 380110 International economics @ 50%
38 ECONOMICS > 3801 Applied economics > 380112 Macroeconomics (incl. monetary and fiscal theory) @ 50%
SEO Codes: 15 ECONOMIC FRAMEWORK > 1502 Macroeconomics > 150202 Demography @ 50%
15 ECONOMIC FRAMEWORK > 1502 Macroeconomics > 150207 Macro labour market issues @ 50%
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