M1435 - DUTT TEXT VOl 2

Introduction International migration flows have expanded by historical proportions in recent years. In 1960, there was a stock of slightly over 75 million people residing in countries other than their country of birth. By 2005, this number had grown to 190 million. For many developing countries, international labor flows have become a natural outcome of the globalization process, as much as trade and investment flows. The money the migrants send back home has become a major source of income for families in developing countries. In 2005, migrant remittances amounted to $600 billion. For some countries, the income received from the services of workers abroad is now a major item of the balance of payments. But international migration flows are not without their costs. For many years, the issue of the brain drain has been studied by international economists. From software engineers in India to doctors in the Philippines and nurses in sub-Saharan Africa, the exodus of skilled migrants has been a policy concern for many developing countries. The impact on the skilled labor forces of some countries has been substantial, especially in subSaharan Africa. In Ghana, for example, over 40 percent of persons with a college degree or more have migrated to other countries. In Gambia, the corresponding proportion is close to 65 percent, and in Somalia it is 59 percent. What are the consequences of these labor outflows? What benefits or costs do they impose in the sending nations? This chapter provides an analysis and survey of the key recent trends in international migration, their determinants and major consequences. The next section presents data on the growth of global migration flows since the mid-1950s. The section after that proceeds to examine the causes of these migration flows, focusing on the main economic factors involved. The subsequent section analyses of the consequences of international migration for source countries. The concluding section discusses implications for future research.