The Commitment to Development Index ranks 27 of the richest countries on their dedication to policies that benefit poorer nations. Denmark takes first in 2015. The UK is tied for sixth while the United States is 21st. Japan takes last of 27.
This paper critiques the last decade of research on the effects of high-skill emigration from developing countries, and proposes six new directions for fruitful research.
US development policy was built for a world that no longer exists. When the US Agency for International Development (USAID) was created in 1961, foreign aid was by far the most important flow of resources to developing countries. Today, aid is a relative sideshow. International migrants send roughly four times more money home to developing countries (close to $500 billion per year) than all donors disburse in global aid (roughly $130 billion per year). Remittances sent from the United States to Latin America and the Caribbean ($32 billion per year) are more than five times the combined US economic and military assistance to the same countries (less than $6 billion per year). Individuals earn much more in the United States than in their home countries, and they develop valuable skills through migration, often transmitting useful ideas and technologies back to their home countries.
The same ideals that guided America’s earliest women of courage now lead our country into the world to combat the dehumanization of women in every form. We will not accept that women and girls are sold into modern-day slavery. We will not accept that women and girls are denied an education. We will not accept so-called honor killings, and we’ll do everything that we can to end forced early marriages. And we will work to improve health-care opportunities for all women so that they can help to build a more hopeful future for themselves and for their own children.
Large wage differences between countries (“place premiums”) are well documented. Theory suggests that factor price convergence should follow increased migration, capital flows, and commercial integration.
The Commitment to Development Index ranks 27 of the world’s richest countries on their dedication to policies that benefit the 5.5 billion people living in poorer nations.