Brain drain: what is the role of institutions?

Brain drain is closely associated with human capital deficiencies and obstacles in economic development. In spite of its crucial economic implications, nations, especially the developing ones, have failed to prevent brain drain due to the focus on simple restrictive policies and the ignorance of ins...

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Main Authors: Chen, Fanyu, Wong, Zi Wen Vivien, Law, Siong Hook
Format: Article
Language:English
Published: Springer Nature 2024
Online Access:http://psasir.upm.edu.my/id/eprint/115739/
http://psasir.upm.edu.my/id/eprint/115739/1/115739.pdf
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author Chen, Fanyu
Wong, Zi Wen Vivien
Law, Siong Hook
author_facet Chen, Fanyu
Wong, Zi Wen Vivien
Law, Siong Hook
author_sort Chen, Fanyu
building UPM Institutional Repository
collection Online Access
description Brain drain is closely associated with human capital deficiencies and obstacles in economic development. In spite of its crucial economic implications, nations, especially the developing ones, have failed to prevent brain drain due to the focus on simple restrictive policies and the ignorance of institutional factors like weakly-enforced law and order, unfulfilled basic human rights, and others in preventing the outflow high skilled labor. Thus, this paper aims to investigate the impact of institutional quality on brain drain in 100 countries from 2007 to 2019, using system Generalized Method of Moments estimator to estimate the model involving data collected from the International Country Risk Guide, The Quality of Government Institute, and the World Bank. The empirical results indicated that quality of institutions is essential in preventing the outflow of highly skilled workers. It has become imperative for policy-makers in these countries to uphold and strengthen their nations’ institutional frameworks in order to retain and attract the valuable talents to stay on and reside in their own countries.
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spelling upm-1157392025-03-13T03:08:30Z http://psasir.upm.edu.my/id/eprint/115739/ Brain drain: what is the role of institutions? Chen, Fanyu Wong, Zi Wen Vivien Law, Siong Hook Brain drain is closely associated with human capital deficiencies and obstacles in economic development. In spite of its crucial economic implications, nations, especially the developing ones, have failed to prevent brain drain due to the focus on simple restrictive policies and the ignorance of institutional factors like weakly-enforced law and order, unfulfilled basic human rights, and others in preventing the outflow high skilled labor. Thus, this paper aims to investigate the impact of institutional quality on brain drain in 100 countries from 2007 to 2019, using system Generalized Method of Moments estimator to estimate the model involving data collected from the International Country Risk Guide, The Quality of Government Institute, and the World Bank. The empirical results indicated that quality of institutions is essential in preventing the outflow of highly skilled workers. It has become imperative for policy-makers in these countries to uphold and strengthen their nations’ institutional frameworks in order to retain and attract the valuable talents to stay on and reside in their own countries. Springer Nature 2024-11-30 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/115739/1/115739.pdf Chen, Fanyu and Wong, Zi Wen Vivien and Law, Siong Hook (2024) Brain drain: what is the role of institutions? Journal of Industrial and Business Economics, 51. pp. 605-628. ISSN 0391-2078; eISSN: 1972-4977 https://link.springer.com/article/10.1007/s40812-023-00286-w?error=cookies_not_supported&code=2c5f5537-c6ff-4c9b-a8fc-f39d53f3b656 10.1007/s40812-023-00286-w
spellingShingle Chen, Fanyu
Wong, Zi Wen Vivien
Law, Siong Hook
Brain drain: what is the role of institutions?
title Brain drain: what is the role of institutions?
title_full Brain drain: what is the role of institutions?
title_fullStr Brain drain: what is the role of institutions?
title_full_unstemmed Brain drain: what is the role of institutions?
title_short Brain drain: what is the role of institutions?
title_sort brain drain: what is the role of institutions?
url http://psasir.upm.edu.my/id/eprint/115739/
http://psasir.upm.edu.my/id/eprint/115739/
http://psasir.upm.edu.my/id/eprint/115739/
http://psasir.upm.edu.my/id/eprint/115739/1/115739.pdf