Migration and the Skill Composition of the Labour Force: The Impact of Trade Liberalization in LDCs

Abstract

"The purpose of this paper is to shed some light on the conditions under which trade liberalization in the developing countries is likely to cause an increase or a decrease in out-migration. We also examine the impact of trade liberalization on the skill composition of migration and of the labour force. For this purpose, we explicitly incorporate four additional features in the Heckscher-Ohlin model: heterogeneity of labour skills, international migration, migration costs, and constraints on financing migration." (EXCERPT)