Brain circulation is a concept that is posited (Xiaonan Cao 1996) as a counter-factual to the idea of brain drain. The concept of "brain drain" gained popularity as skilled labour from certain countries emigrated to other countries in search of better opportunities. In India for example, one witnessed large-scale emigration of engineers from its premier engineering institutes called IIT (Indian Institute of Technology) in the sixties, seventies and eighties. Some commentators felt that this led to a loss of intellectual capital from the country and coined the term "brain drain" to signify this process.
The late nineties and the early years of the 21st century however saw large numbers of these emigrants returning to India as prospects in India improved markedly, brought on by important economic reforms initiated in the early nineties. Some commentators now attribute India's success partly on this circular movement of skilled labour. They argue that such circular movement brings to the home country much intangible knowledge that proves invaluable for the country's development. Brain circulation can thus be defined as the circular movement of skilled labour across nations.
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