Q2. What are the future works in "Return migration, human capital accumulation and the brain drain∗" ?
20 through the impacts of emigration ( immigration ) on the workers who stay in the home country and also further consequences for the workers in the receiving country.
Q3. How many of the low and highly educated returned to the Netherlands?
While only 1.6% of those with an intermediate level of education had returned, 4.3% and 5% of the low and highly educated returned.
Q4. What is the basic intuition for the immigrant?
The basic intuition is that if the immigrant plans to stay in the host country, then, by leaving early, she can increase the amount of Ka that will be used in the host country.
Q5. Why does the interest rate play a role in the return of immigrants?
The interest rate also plays a role because, to the extent that investment abroad is productive, one would prefer to receive these benefits sooner rather than later.
Q6. What is the assumption that the human capital of a person is constant for the rest of her?
When an agent reaches that critical age her human capital remains constant for the rest of her life, which captures the idea that learning capacity declines with age.10 This assumption implies substitution between learning at home and abroad.
Q7. What is the effect of the US labor market experience on the earnings of immigrants?
They find that, for these immigrants, the labor market experience accumulated in the US increases earnings by twice the amount than experience accumulated in Mexico.
Q8. What is the condition for the condition where the prices of skill 2 differ across countries?
The graph16Partial transferability and condition (9) requireγ2b γ1b > θ1a − θ1b θ2b − θ2a > γ2a γ1a ,and, by assumption, γ2b γ1b > 1 > γ2a γ1a .14is drawn for the case in which the prices of skill 2 differ across countries less than the prices of skill 1, that is, θ1a−θ1bθ2b−θ2a >
Q9. Why does the immigrant leave sooner after arrival?
This happens, because during the stay in the host country, the human capital applicable in the home country, Kb, rises at a faster rate than the human capital that is applicable to the host country, Ka. Examining Figure 2, it is seen that immigrants with a higher Ω(τ) will leave sooner after arrival (i.e., ε− τ declines) because the foregone earnings at home while learning abroad are higher for them.
Q10. What are the empirical findings compatible with the one skill model?
The empirical findings seem compatible with the one skill model only upon introducing additional assumptions, such as a decline in migration costs with education.