In this paper we examine two hypotheses concerning emigration. The first hypothesis is that emigration is positively correlated with wage differentials. The second hypothesis concerns a positive correlation between emigration and higher education in the sending country (the so-called brain gain hypothesis). We analyze unique time series data for Suriname for 1972-2009, for which we fit error correction models to disentangle short-run from long-run effects. We document moderate support for the first hypothesis, but we find strong support for the brain drain (and not brain gain) hypothesis. We conclude with implications of our findings for Suriname.

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Erasmus School of Economics
Econometric Institute Research Papers
Report / Econometric Institute, Erasmus University Rotterdam
Erasmus School of Economics

Dulam, T.W, & Franses, Ph.H.B.F. (2011). Emigration, wage differentials and brain drain: The case of Suriname (No. EI 2011-33). Report / Econometric Institute, Erasmus University Rotterdam (pp. 1–21). Erasmus School of Economics. Retrieved from