Arbeitspapier
Consumers and the brain drain: product design and the gains from emigration
We consider the welfare effects of skilled worker emigration in a context where skilled labor plays a role in product design. We show such emigration can benefit the residents left behind, even when consumers' tastes exhibit a form of home bias. This is because emigration improves the design of goods designed by skilled emigrants but consumed in the sending country. In contrast to existing models of beneficial brain drain, our results do not require agglomeration economies, education-related externalities, remittances, return migration, or an emigration lottery. Instead, they are driven purely by differences in market size that induce skilled emigrants to design better products abroad than at home.
- Language
-
Englisch
- Bibliographic citation
-
Series: IZA Discussion Papers ; No. 3602
- Classification
-
Wirtschaft
International Migration
- Subject
-
Brain drain
international labor migration
product quality
Brain Drain
Produktdesign
Produktqualität
Import
Konsumtheorie
Wohlfahrtseffekt
Theorie
- Event
-
Geistige Schöpfung
- (who)
-
Kuhn, Peter
McAusland, Carol
- Event
-
Veröffentlichung
- (who)
-
Institute for the Study of Labor (IZA)
- (where)
-
Bonn
- (when)
-
2008
- Handle
- URN
-
urn:nbn:de:101:1-20080723139
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Kuhn, Peter
- McAusland, Carol
- Institute for the Study of Labor (IZA)
Time of origin
- 2008
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