Human Capital Flight in ECOWAS Subregion: The Heterogeneous Influences of Macroeconomic and Institutional Factors

Abstract

This study demonstrates a deep concern about the forces behind the recent upsurge of human capital flight in ECOWAS despite the crucial need for human capital in their development process. In five separate models, the heterogeneous impacts of macroeconomic and institutional variables on migration in ECOWAS are examined between 2009 and 2023 using a panel quantile approach with nonadditive fixed effects. The results explain that the impacts of the selected macroeconomic and institutional determinants of human capital flight are heterogeneous through the quantiles. Specifically, poor institutional qualities in terms of governance, corruption, freedom and accountability, and political stability are important sources of human capital flight. There are more robust indications that human capital flight increases as income and unemployment increase while it reduces with increased life expectancy. The study recommends stronger institutional frameworks to increase public confidence and reduce pessimism. Peaceful political transitions, equity, transparency, and effective governance can create more attractive economic opportunities to reduce the problem of unemployment and, ultimately, reduce human capital flight in ECOWAS.