Migration, Reverse Migration and Tech Transfer

1. Migration, Reverse Migration and Tech Transfer SOSC 228

2. Uneven economic development lead to migration within East Asia, across regions, and within countries • Migration a transnational issue, as flows can have major impact on sending and receiving countries. • Asia initial loser in outmigration, particularly “brain drain,” with Western countries as major beneficiaries. • Governments can affect the flows of human population. • Human capital flows closely linked to technology transfer. • East Asia, including India, now benefiting from reverse migration and investment by migrants into their home country.

3. 1. Migration Patterns Result of uneven economic development as migrants seek higher salaries, better living conditions, better education opportunities. LOOK AT THE MAP CLICK

4. 1. Migration Patterns(con’t) a. Inter-regional flows • Most migration to Middle East—problems for Philippina workers • Political instability or uncertainty key force “pushing” people out, as in case of Hong Kong pre-1997 • Some South American migration to Japan • Temporary contract labour migration—brings remittances, which can be of great importance to developing economies (see table). • Reverse migration of talented and trained migrants from “host” country to “home country”—not on map CLICK

5. 1. Migration Patterns(con’t) b. Intra-regional Migration • War refugees—Indochina crisis of 1975-79, can create major unrest and border conflicts • Short-term economic migrants seeking higher salaries—outflows from Philippines, China, and Indonesia to Malaysia, Singapore, Hong Kong and Taiwan. • Problem in developed economies of East Asia, particularly Japan, of aging population--leads to need for labour migration, but states can resist allowing long-term immigration. • East Asia crisis triggered massive movement of Indonesians out of Malaysia

6. 1. Migration Patterns(con’t) c. Internal Migration • increased productivity in the countryside frees up labour force looking for higher wages. • urbanization due to migration creates environmental problems in cities • infrastructural projects necessitate population resettlement—difficult problem to manage successfully. Example of Three Gorges Dam • Overpopulation, loss of arable land, desertification, led to massive population movements in search of places to make a living. • As many as 100 million farmers on the move in China in search of jobs

7. 2. Migration impact on Host and Home Countries • Enormous benefits to US, Canadian and Australian economy, in terms of monies spent, talent acquired • Canadian subsidies of Asians who then relocate to U.S.—Canada seen as route to U.S. • Resolves population pressures in “home” country, but can lead to loss of talent if migrants are university educated. • Some equilibrium point attained when “home” country economy reaches developmental stage to trigger “reverse” migration

8. 3. Government Policies and Impact • Racist government anti-immigration policies • Political instability, government caused famine can trigger outflow—major flows out of North Korea • War as major impetus for migration • Governments can restrict ouflow through passport controls • Government policies can resist inbound migration, such as Hong Kong’s policy against mainland migrants, or allowing Filipinos to take on certain jobs, or Australia’s • Family reunification major force for migration • Governments, such as Canada, using point system to attract only skilled labour

9. 4. “Brain Drain” and “Reverse Brain Drain” Level of outflow very high despite Chinese political system: See “Graduate Students Studying Abroad” • Education as migration strategy—many who go out do not plan to return CLICK

10. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Level of outflow very high despite Chinese political system: SEE “VIEWS ABOUT RETURNING TO CHINA” • Why people might go abroad and not return: • “push” factors out of home country and “pull” factors in host country; • Push factors include political insecurity, poor working conditions and lack of quality equipment in home country, lack of recognition for educated—OTHERS? CLICK

11. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Level of outflow very high despite Chinese political system: • Pull factors in Western societies include better recognition of talent, improved quality of life or status for women, government policies based on demand for cheap, technically trained graduate students, university funding for overseas students, See Table “Why a person might not return to China” CLICK

12. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Reverse Migration • New phenomenon in East Asia since the 1980s, with different countries or regions undergoing reverse migration at different stages of economic development • Taiwan experiences this in 1980s. • Hong Kong businessmen return to make money in China but families remain in Canada—emergence of “astronauts” • Koreans refused to return until end of military dictatorship, but children have difficult time adjusting.

13. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Reverse Migration • Chinese reverse migration has emerged since late 1990s—democratization has not been necessary. • Growth of MNCs interest in doing business in East Asia—many internal transfers within companies. • Hong Kong major beneficiary of desire for access to China but people not willing to live in China.

14. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Why Reverse Migration: Chinese Case See Table: comparing returnees and non-returnees in development zones • Driven by opportunities in home country, as migrants develop skills that are in short supply in their home country—otherwise they would not have gone overseas. CLICK

15. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Why Reverse Migration: Chinese Case • Government incentives to bring people or their technology back to the home country. • Control over new technologies can bring great profits in home economy, especially if linked with cheaper labour at home • Cultural component: “cultural comfort” and glass ceiling in Western society • Aging parents • Reference now to “brain circulation” rather than brain “drain.”

16. 4. “Brain Drain” and “Reverse Brain Drain” (con’t) Benefits of Reverse Migration • Technology transfer and foreign investment see Table on quality of technology • Role of networks established between East Asian country and the West • Key role of Silicon Valley (see Saxenian) • Role of democratization unclear

17. Major migration patterns in early 1990s BACK

18. Migrant-worker remittances in relation to GNP & export earnings BACK

19. Number of graduate students studying abroad & their rates of return, 1952-99 BACK

20. Views about returning to China NEXT

21. Intentions about studying in the US before leaving China NEXT

22. Trust in government policy about freedom to study abroad after returning BACK

23. Why a person might not return to China BACK

24. Comparing returnees and non-returnees in development zones BACK