Does Corruption Promote Emigration? An Empirical Examination

32 Pages Posted: 12 Apr 2014

See all articles by Arusha V. Cooray

Arusha V. Cooray

Embassy of Sri Lanka, Oslo

Friedrich Schneider

Johannes Kepler University Linz - Department of Economics; CESifo (Center for Economic Studies and Ifo Institute for Economic Research); Institute for the Study of Labor (IZA)

Abstract

This paper empirically investigates the relationship between corruption and the emigration of those with high, medium and low levels of educational attainment. The empirical results indicate that as corruption increases the emigration rate of those with high levels of educational attainment also increases. The emigration rate of those with middle and low levels of educational attainment, however, increases at initial levels of corruption and then decreases beyond a certain point. Splitting the sample by income inequality suggests that increased inequality reduces the ability to emigrate. The policy conclusion is, that government actions should focus on controlling corruption, which in turn would lead to funds being channeled more productively into education and also lead to a fall in inequality which would reduce emigration.

Keywords: corruption, emigration, educational attainment, government expenditures, income inequality, labor markets

JEL Classification: O17, O5, D78, H2, H11, H26

Suggested Citation

Cooray, Arusha V. and Schneider, Friedrich G., Does Corruption Promote Emigration? An Empirical Examination. IZA Discussion Paper No. 8094. Available at SSRN: https://ssrn.com/abstract=2424193

Arusha V. Cooray (Contact Author)

Embassy of Sri Lanka, Oslo ( email )

Norway

Friedrich G. Schneider

Johannes Kepler University Linz - Department of Economics ( email )

Altenbergerstrasse 69
A-4040 Linz, 4040
Austria
+43 732 2468 8210 (Phone)
+43 732 2468 8208 (Fax)

CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

HOME PAGE: http://www.CESifo.de

Institute for the Study of Labor (IZA)

P.O. Box 7240
Bonn, D-53072
Germany

Register to save articles to
your library

Register

Paper statistics

Downloads
113
Abstract Views
581
rank
243,438
PlumX Metrics