Shifa paper on trade in high-skilled human capital published

Trade in Human Capital: A Quantitative Theory of Economic Growth and the Import of Higher Education

Abdulaziz B. Shifa

Macroeconomic Dynamics, September 2020

Abdulaziz Shifa

Economics Department

Education

Macroeconomic Dynamics

Abdulaziz Shifa

"Trade in Human Capital: A Quantitative Theory of Economic Growth and the Import of Higher Education," written by Assistant Professor of Economics Abdulaziz Shifa, was published in Macroeconomic Dynamics.

For a developing economy transitioning into knowledge-intensive sectors, the lack of capacity for advanced education poses a natural challenge. Many successfully industrialized countries used high-skilled foreign teachers to overcome this challenge.

Shifa presents a stylized quantitative model of trade in high-skilled human capital, in which colleges in a developing country can hire high quality teachers from a developed country. In the model, the use of foreign teachers is proposed as a possible mechanism to build domestic capacity for advanced education.