A Note on Mountford's Manuscript 'Can a Brain Drain Be Good for Growth in the Source Economy?'

Abstract

In this briefly note we extend the Mountford's article "Can a Brain Drain be good for growth in the source economy?" by introducing an active role of the government in the education decisions of the agent by public education, taxes and subsidies. First, we demonstrate that the main results obtained by Mountford do not disappeared. Second, we argue that the model, by these new assumptions, help us to extend the Mountford's results to a greater range of economic scenarios and in particular, to the new enlarged European Union.