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Skilled Migration, Human Capital and Educated Unemployment
( Abubakar Lawan Ngoma ),( Usman Umaru Bubaram ) 한양대학교 경제연구소 2021 JOURNAL OF ECONOMIC RESEARCH Vol.26 No.3
It is, theoretically, argued that the possibility of migration to where-the-returns to education is higher promotes human capital investment and educated unemployment in the migrants’ source countries. However, empirical studies seeking to support this claim are uncommon in the received literature. This paper examines the effect of skilled migration on human capital formation and unemployment of educated workers in migrants’ source developing countries. The paper uses System Generalised Method of Moments (SGMM) technique on panel dataset from 96 migrant-sending countries over the period of 1980 - 2000. The results reveal that skilled migration exerts positive effect on educational investment in migrants’ source countries. The results further show that the possibility of skilled migration attenuates skilled unemployment in migrants’ source countries. From the policy standpoint, the paper shows that policymakers in migrantsending countries can use the potentials of international migration to boost their countries level of human capital and reduce skilled unemployment.