Caroline Theoharides’s research while affiliated with Amherst College and other places

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Publications (16)


Brain drain or brain gain? Effects of high-skilled international emigration on origin countries
  • Literature Review

May 2025

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11 Reads

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1 Citation

Science

Catia Batista

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Daniel Han

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Johannes Haushofer

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[...]

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Dean Yang

How does emigration of highly educated citizens of low-income countries to high-income countries affect the economies of the origin countries? The direct effect is “brain drain”—a decrease in the country’s human capital stock. However, there may also be indirect “brain gain” effects. This review summarizes evidence that uses causal inference methods to reveal mechanisms that may lead to brain drain, gain, or circulation. Collectively, the weight of the evidence suggests that migration opportunities often increase human capital stock in origin countries and produce downstream beneficial effects through remittances; foreign direct investment and trade linkages; transfers of knowledge, technology and norms; and return migration. We discuss conditions under which benefits from skilled migration may outweigh costs and also describe potential research paths to inform policy.





Medical Worker Migration and Origin-Country Human Capital: Evidence from U.S. Visa Policy

October 2021

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158 Reads

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25 Citations

Review of Economics and Statistics

We exploit changes in U.S. visa policies for nurses to measure the origin-country human capital response to international migration opportunities. Combining data on all migrant departures and postsecondary institutions in the Philippines, we show that nursing enrollment and graduation increased substantially in response to greater U.S. demand for nurses. The supply of nursing programs expanded. Nurse quality, measured by licensure exam pass rates, declined. Despite this, for each nurse migrant, 9 additional nurses were licensed. New nurses switched from other degree types, but graduated at higher rates than they would have otherwise, increasing the human capital stock in the Philippines.


Medical Worker Migration and Origin-Country Human Capital: Evidence from U.S. Visa Policy

August 2020

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42 Reads

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2 Citations

We exploit changes in U.S. visa policies for nurses to measure brain drain versus gain. Combining data on all migrant departures and postsecondary institutions in the Philippines, we show that nursing enrollment and graduation increased substantially in response to greater U.S. demand for nurses. The supply of nursing programs expanded to accommodate this increase. Nurse quality, measured by licensure exam pass rates, declined. Despite this, for each nurse migrant, 10 additional nurses were licensed. New nurses switched from other degree types, but graduated at higher rates than they would have otherwise, thus increasing the human capital stock in the Philippines.


The short term impact of a productive asset transfer in families with child labor: Experimental evidence from the Philippines

April 2020

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214 Reads

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25 Citations

Journal of Development Economics

Productive asset grants have become an important tool in efforts to push the very poor out of poverty, but they require labor to convert the asset into income. Using a clustered randomized trial, we evaluate the impact of a key component of the Government of Philippines' child labor elimination program, a $518 productive asset grant directed at families with child laborers. We find that households rely upon family members for the labor to work the asset. Adolescent labor is the most available labor in the household, and we observe increases in employment among adolescents not engaged in child labor at baseline. Households with a family firm or business prior to treatment especially lack available adult labor to work with the asset, leading to increases in child labor, including hazardous work, amongst children who were not in child labor at baseline.


The Short Term impact of a productive asset transfer in families with child labor: Experimental evidence from the Philippines

November 2018

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53 Reads

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6 Citations

Journal of Development Economics

This article has been withdrawn by the Editor because the paper accidentally went forward in the printing process before the review process was complete. The Publisher apologizes for any inconvenience this may cause. The full Elsevier Policy on Article Withdrawal can be found at https://www.elsevier.com/about/our-business/policies/article-withdrawal



The unintended consequences of migration policy on origin-country labor market decisions

August 2018

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79 Reads

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30 Citations

Journal of Development Economics

Due to concerns about human trafficking, Japan restricted the flow of Filipino migrants into performing arts jobs, effectively closing the Philippines’ largest migration channel. I exploit heterogeneity in the impact of this migration restriction across the Philippines to examine the effect of circular migration on sending-country labor markets. I find a lack of fungibility in migration opportunities such that the restriction decreased migration from areas that sent entertainers to Japan. Labor force participation increased, income declined, and child labor increased. I document spillover effects to other migration opportunities, such that migration declines by more than the number of restricted entertainers.


Citations (9)


... While the general sentiment of the literature on child labor is that substantial progress has been achieved in recent decades ("[a]n important lesson from all the literature reviewed herein is that child labor can change dramatically and quickly in countries as a result of changes in the economic and policy environment. "; [18], pp. 27-28), our results call that sentiment into question. ...

Reference:

Measuring Child Labor: The Who’s, the Where’s, the When’s, and the Why’s
Child Labor and Economic Development
  • Citing Chapter
  • November 2021

... Positive economic outcomes from remittances are well recognized. A recent econometric analysis shows that in the long run, migrant income will provide long-term benefits to the origin communities of overseas migrants: substantially increasing income, raising educational standards for migrants and their children, and leading to growth in high-skilled overseas migration (Khanna et al. 2022). Our study argues that FFS, taken together with the financial capabilities of the providers and the managers of income from remittances, galvanizes and informs the remittance-emotion nexus for migrant households. ...

Abundance from Abroad: Migrant Income and Long-Run Economic Development
  • Citing Article
  • January 2022

SSRN Electronic Journal

... This is important, since a possible concern for our identification strategy is that the UBBJs were installed according to the evolution of migration in preceding periods. Previous literature shows that tertiary educational institutions can respond to migratory opportunities (Abarcar and Theoharides 2024). ...

Medical Worker Migration and Origin-Country Human Capital: Evidence from U.S. Visa Policy
  • Citing Article
  • October 2021

Review of Economics and Statistics

... Empirical studies have shown that the emigration of doctors is associated with high HIV death rates, child mortality and too few medical workers to meet basic healthcare needs at the local level, pointing to a medical brain drain (see Astor et al., 2005;Bhargava & Docquier, 2008;Chauvet et al., 2013). Yet, the literature also suggests instances where emigration prospects for medical workers provide incentives for investment in education that are sufficiently high to bring about a net welfare gain for the country of origin (e.g., Abarcar & Theoharides, 2020;Kangasniemi et al., 2007). ...

Medical Worker Migration and Origin-Country Human Capital: Evidence from U.S. Visa Policy
  • Citing Preprint
  • August 2020

... While some livelihood programs reduce child labour (Beuermann 2015;de Hoop et al. 2018), others may not or even increase it (de Hoop, Groppo, and Handa 2020;Edmonds and Theoharides 2020). Programs that rely on a single component, such as livelihood support, tend to have more modest outcomes compared to combined approaches that also include financial support or social education (Berry, Karlan, and Pradhan 2018). ...

The short term impact of a productive asset transfer in families with child labor: Experimental evidence from the Philippines
  • Citing Article
  • April 2020

Journal of Development Economics

... In line with theoretical models, several empirical studies have found that access to credit reduces child labour (Beegle et al, 2003;Dehejia and Gatti, 2002;Guarcello et al, 2010). However, some studies have found the opposite, particularly when households gain access to microcredit (Hazarika and Sarangi, 2008;Maldonado and González-Vega, 2008;Edmonds and Theoharides, 2020;Hossain, 2023). This may relate to the somewhat counterintuitive fact that opportunities to employ children may not exist at very low levels of household income or wealth (since most children are employed within the family). ...

Reference:

Child labour
The Short Term impact of a productive asset transfer in families with child labor: Experimental evidence from the Philippines
  • Citing Article
  • November 2018

Journal of Development Economics

... representing human capital accumulation, is a key factor contributing to the gap in returns, especially for jobs with fixed contracts. Beam et al. (2020) studied the returns to education, experience, and training for young workers. They found that having experience and a degree is essential for securing a job. ...

The Relative Returns to Education, Experience, and Attractiveness for Young Workers
  • Citing Article
  • October 2018

Economic Development and Cultural Change

... Beyond legal frameworks, informal labor market practices in host countries can create additional, less visible obstacles to integration (Dancygier and Laitin, 2014). Hence, migration policy changes do not always have the desired outcomes (Theoharides, 2020). However, to the best of our knowledge, there exist no measures of countries' de facto openness to immigration, and our major contribution is providing such measures. ...

The unintended consequences of migration policy on origin-country labor market decisions
  • Citing Article
  • August 2018

Journal of Development Economics

... In destination countries, geopolitical risk can lead to economic downturns, decreasing pull factors, such as the returns to migration (Mayda 2010;Ortega and Peri 2013). It is well-established that economic shocks at the destination strongly influence migration decisions (Gröger 2021;McKenzie et al. 2014), leading to an expected decrease in immigration. Again, the pull side of the economic channel can have second-order effects. ...

Distortions in the International Migrant Labor Market: Evidence from Filipino Migration and Wage Responses to Destination Country Economic Shocks
  • Citing Article
  • April 2012

American Economic Journal Applied Economics