Abstract
We explore the relationship between economic volatility and human capital formation within a context of migration. We show that increased variability may raise the average educational level of the population even after netting out expected migration. In particular, we demonstrate that this is the case when individuals' abilities and the economy-wide shock are uniformly distributed.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
Author information
Authors and Affiliations
Corresponding author
Additional information
We thank Frédéric Docquier, Pascal Lévy-Garboua, Abraham Lioui, and two anonymous referees for their comments.
Responsible editor: Alessandro Cigno.
Rights and permissions
About this article
Cite this article
Katz, E., Rapoport, H. On human capital formation with exit options. J Popul Econ 18, 267–274 (2005). https://doi.org/10.1007/s00148-004-0214-1
Received:
Accepted:
Issue Date:
DOI: https://doi.org/10.1007/s00148-004-0214-1