A simple model of brain circulation |
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Authors: | Nicolas Schmitt Antoine Soubeyran |
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Institution: | a Simon Fraser University, Canada b Université de la Méditerranée, France and GREQAM, France c Université de Genève, Switzerland |
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Abstract: | This paper analyzes the allocation of two types of individuals differentiated by talent between two countries where they choose to be workers or entrepreneurs. An equilibrium with international migration exists when countries' talent endowments are sufficiently different. It is consistent with one-way or two-way migration whether individuals are entrepreneurs or workers. Although allowing migration increases domestic welfare in one country and decreases it in the other, it is always supported by majority voting in both countries. |
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Keywords: | F2 F22 J61 J24 J31 |
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