Return migration is the positive counterpart of brain drain. Human capital accumulation increases in a country if skilled agents go back home after a period spent working abroad. Effects of brain drain in Italy could be negative as highly skilled migrants decide not to come back to their native...

The largest part of available literature on international migration tends to consider migration decision either as permanent or temporary. In this paper we develop a fairly general dynamic model of rational migration, where both the decision to return in the home country and to remain abroad, as...