Skip to main content

Analyzing return migration of high school graduates from lagging regions

Abstract

We analyze choice behavior of lagging region’s high school graduates on locations of university and employment, by using a bivariate probit model with sample selection. This finds that the job security and the R&D investments have much significant effects on the decision to find jobs to the lagging regions for employment compared with the wage level and the job opportunity. In addition, the probability of return migration to the lagging regions could increase with a degree of closeness to the family and hometown.

This is a preview of subscription content, access via your institution.

Fig. 1
Fig. 2

Notes

  1. 1.

    While Korea is composed of nine provinces and eight metropolitan cities, the CR consists of two metropolitan cities of Seoul and Inchon, and one adjacent province.

  2. 2.

    This result is in line with Faggian and McCann’s (2006) argument that regional knowledge assets, such as research institutes and local universities, contributed to inducing human capital flows to the region.

References

  1. Acemoglu, D.: A microfoundation for social increasing returns in human capital accumulation. Quart. J. Econ. 111(3), 779–804 (1996)

    Article  Google Scholar 

  2. Anselin, L., Varga, A., Acs, Z.: Geographical spillovers and university research: a spatial econometric perspective. Growth Change 31, 501–515 (2000)

    Article  Google Scholar 

  3. Beine, M., Docquier, F., Rapoport, H.: Brain drain and economic growth: theory and evidence. J. Develop. Econ. 64(1), 275–289 (2001)

    Article  Google Scholar 

  4. Beine, M., Docquier, F., Rapoport, H.: Brain drain and human capital formation in developing countries: winners and losers. Econ. J. 118(528), 631–652 (2008)

    Article  Google Scholar 

  5. Brooks, R.L.: Measuring university quality. Rev. Higher Edu. 29(1), 1–21 (2005)

    Article  Google Scholar 

  6. Chung, C., Clark, J., Kim, B.: Is the growing skill premium a purely metropolitan issue? Econ. Lett. 102, 73–75 (2009)

    Article  Google Scholar 

  7. Ciriaci, D.: Does university quality influence the interregional mobility of students and graduates? The case of Italy. Reg. Stud. 48(10), 1592–1608 (2014)

    Article  Google Scholar 

  8. Clark, W.A.V., Coulter, R.: Who wants to move? The role of neighborhood change. Environ. Plan. A 47, 2683–2709 (2015)

    Article  Google Scholar 

  9. Clemente, J., Larramona, G., Olmos, L.: Interregional migration and thresholds: evidence from Spain. Spatial Econ. Anal. 11(3), 276–293 (2016)

    Article  Google Scholar 

  10. Crescenzi, R., Holman, N., Orru, E.: Why do they return? Beyond the economic drivers of graduate return migration. Ann. Reg. Sci. 59(3), 603–627 (2017)

    Article  Google Scholar 

  11. Decressin, J.W.: Internal migration in west Germany and implications for east-west salary convergence. Rev. World Econ. 130(2), 231–257 (1994)

    Article  Google Scholar 

  12. Eggert, W., Krieger, T., Meier, V.: Education, unemployment and migration. J. Pub. Econ. 94(5–6), 354–362 (2010)

    Article  Google Scholar 

  13. Faggian, A., McCann, P.: Human capital, Graduate Migration and Innovation in British Regions. Camb. J. Econ. 33, 317–333 (2009)

    Article  Google Scholar 

  14. Faggian, A., Rajbhandari, I., Dotzel, K.R.: The interregional migration of human capital and its regional consequences: a review. Reg. Stud. 51(1), 128–143 (2017)

    Article  Google Scholar 

  15. Gabriel, S.A., Rosenthal, S.S.: Quality of the business environment versus quality of life: do firms and households like the same cities? Rev. Econ. Stat. 86(1), 438–444 (2004)

    Article  Google Scholar 

  16. Glaeser, E.L., Mare, D.C.: Cities and skills. J. Labor Econ. 19(2), 316–342 (2001)

    Article  Google Scholar 

  17. Heckman, J.J.: Sample selection bias as a specification error. Econometrica 47, 153–161 (1979)

    Article  Google Scholar 

  18. Jaeger, A., Kopper, J.: Third mission potential in higher education: measuring the regional focus on different types of HEIs. Rev. Reg. Res. 34(2), 95–118 (2014)

    Article  Google Scholar 

  19. Kaplan, D., Venezky, R.L.: Literacy and voting behavior: a bivariate probit model with sample selection. Soc. Sci. Res. 23(4), 350–367 (1994)

    Article  Google Scholar 

  20. Kaplan, S., Grünwald, L., Hirte, G.: The effect of social networks and norms on the inter-regional migration intentions of knowledge-workers: the case of Saxony, Germany. Cities 55, 61–69 (2016)

    Article  Google Scholar 

  21. Kazakis, P., Faggian, A.: Mobility education and labor market outcomes for US graduates: is selectivity important? Ann. Reg. Sci. 59(3), 731–758 (2017)

    Article  Google Scholar 

  22. Koramaz, T.K., Dökmeci, V.: Impact of distance on migration in Turkey. Migr. Lett. 13(2), 269–294 (2016)

    Article  Google Scholar 

  23. Krugman, P.R.: Increasing returns and economic geography. J. Polit. Econ. 99, 483–499 (1991)

    Article  Google Scholar 

  24. Lazzeretti, L., Tavoletti, E.: Higher education excellence and local economic development: the case of the entrepreneurial university of Twente. Eur. Plan. Stud. 13(3), 475–493 (2005)

    Article  Google Scholar 

  25. Liu, Y., Shen, J., Xu, W.: From school to university to work: migration of highly educated youth in China. Ann. Reg. Sci. 59, 651–676 (2017)

    Article  Google Scholar 

  26. Lucas, R.E.: On the mechanics of economic development. J. Monet. Econ. 22(3), 3–42 (1988)

    Article  Google Scholar 

  27. Lucas, R.E.: Lectures on Economic Growth. Harvard University Press, Cambridge, Massachusetts (2002)

    Google Scholar 

  28. Massey, D.S.: Social structure, household strategies, and the cumulative causation of migration. Popul. Index 56(1), 3–26 (1990)

    Article  Google Scholar 

  29. McCollum, D., Liu, Y., Findlay, A., Feng, Z., Nightingale, G.: Determinants of occupational mobility: the importance of place of work. Reg. Stud. 52, 1–12 (2018)

    Article  Google Scholar 

  30. Moretti, E.: Workers’ education, spillovers and productivity: evidence from plant-level production functions. Am. Econ. Rev. 94(3), 656–690 (2004)

    Article  Google Scholar 

  31. Nifo, A., Vecchione, G.: Do institutions play a role in skilled migration? The case of Italy. Reg. Stud. 48(10), 1628–1649 (2014)

    Article  Google Scholar 

  32. RitsiläÈ, J., Tervo, H.: Regional differences in the role of migration in labour market adjustment: the case of Finland. In: Crampton, G. (ed.) Regional unemployment, job matching and migration. Series on European research in regional science, pp. 166–182. Pion, London (1999)

    Google Scholar 

  33. Robertson, S.: Friendship networks and encounters in student-migrants’ negotiations of translocal subjectivity. Urban Stud. 55(3), 538–553 (2018)

    Article  Google Scholar 

  34. Romer, P.M.: Endogenous technological change. J. Polit. Econ. 98(5), S71–S102 (1990)

    Article  Google Scholar 

  35. Schmidt, C.: Optimal commuting and migration decisions under commuting cost uncertainty. Urban Stud. 51(3), 477–492 (2014)

    Article  Google Scholar 

  36. Simonen, J., McCann, P.: Firm innovation: the influence of R&D cooperation and the geography of human capital inputs. J. Urban Econ. 64, 146–154 (2008)

    Article  Google Scholar 

  37. Teney, C.: Immigration of highly skilled Euripean professionals to Germany: intra-EU brain gain or brain circulation? Innov. Eur. J. Soc. Sci. Res. 34, 1–25 (2019)

    Google Scholar 

  38. Todaro, M.P., Smith, S.C.: Economic Development. Pearson Education Limited, Harlow (1985)

  39. Waldorf, B.S.: Is human capital accumulation a self-propelling process? Comparing educational attainment levels of movers and stayers. Ann. Reg. Sci. 43(2), 323–344 (2009)

    Article  Google Scholar 

  40. Winship, C., Mare, R.D.: Models for sample selection bias. Ann. Rev. Sociol. 18(1), 327–350 (1992)

    Article  Google Scholar 

Download references

Author information

Affiliations

Authors

Corresponding author

Correspondence to Min Jiang.

Additional information

Publisher's Note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Rights and permissions

Reprints and Permissions

About this article

Verify currency and authenticity via CrossMark

Cite this article

Woo, Y., Jiang, M. & Kim, E. Analyzing return migration of high school graduates from lagging regions. Lett Spat Resour Sci 14, 309–319 (2021). https://doi.org/10.1007/s12076-021-00280-7

Download citation

Keywords

  • University graduates
  • Job location decision
  • Return migration
  • R&D investment
  • Hometown effect

JEL Classifications

  • R23
  • O15
  • J24