Examining the Literature | Insightful Analysis on the Indian Community Abroad

Examining the Literature | Insightful Analysis on the Indian Community Abroad

In the post-independence era, the outflow of skilled professionals from India, often referred to as 'brain drain', has been a significant economic concern. The issue intensified from the 1970s onward, prompting economists like Jagdish Bhagwati and V.M. Dandekar to suggest measures to offset the losses.

Historical Development

The early decades after independence saw some reverse brain drain as prominent scientists and economists returned to India to contribute to nation-building. However, from the late 1960s, the outflow of highly skilled professionals, particularly doctors, engineers, and IT specialists, grew sharply. Since the 1980s, even with the establishment of premier institutions like IITs and IIMs, a consistent stream of graduates opted for overseas opportunities, reflecting continuing brain drain.

Economic Impact

The economic impact of brain drain is multifaceted. The loss of human capital leads to shortages in key sectors such as healthcare, technology, and scientific research, which constrains domestic innovation and GDP growth. There is also a loss of public investment, as the subsidized cost of education benefits other countries where migrants settle and work. Estimated annual losses due to brain drain can run into tens or hundreds of billions of dollars.

Despite these losses, there are offsetting benefits like remittances, knowledge transfer by returnees, and enhanced global influence of the Indian diaspora, which play an increasingly important role in India's economy.

Taxes and Cesses

In the 1970s, Bhagwati and Dandekar suggested levying taxes or cesses on emigrants or the foreign entities employing them to reclaim some value from the subsidized education and training. Their advocacy reflected an early effort to address the externality of skilled migration — that the sending country incurs both fiscal and development costs without direct compensation. This approach aimed to create a financial mechanism to support the country’s economy in light of continued human capital outflows.

Modern Relevance

While the 1970s suggestions by Bhagwati and Dandekar laid an early foundation, subsequent decades have seen a shift toward recognizing the diaspora's complex role. Remittances, investments, and reverse brain drain initiatives have become critical elements of India’s policy framework.

However, the debate continues to evolve, with the current focus increasingly balancing the losses due to brain drain with gains from diaspora engagement, investment flows, and remittances. This nuanced understanding reflects a shift beyond the simple fiscal compensation model initially suggested.

The Political Aspect

A contemporary discussion revolves around the role of political parties in shaping the success and prosperity of the Indian diaspora. Accusations have been levied against the BJP and its ideological mentor, the RSS, of weaponizing NRIs to influence host countries' policies towards India and promoting a toxic Hindutva sentiment among the NRIs.

The Book: "Secession of the Successful: The Flight Out of New India"

A recent book, "Secession of the Successful: The Flight Out of New India" by Sanjaya Baru, explores this phenomenon in detail. The book outlines the phenomenon of educated and talented individuals emigrating from various states in India, such as Tamil Nadu, Andhra Pradesh, Gujarat, and Punjab. Wealthy Indians prefer cities like Singapore and Dubai because they offer First World comforts and affordable South Asian and East Asian household helps.

Baru writes that the increasing assertion of religious identity overseas by adherents of global Hindutva enables them to feel Indian without having to be in India. The book is a timely examination of the NRIs, their success, and the potential costs associated with it, including the plight of old parents of NRIs who may be financially secure but socially and emotionally isolated.

1. Amidst the rise in home-and-garden shows and sustainable-living documentaries, one might find educational content on personal-growth and career-development, highlighting the significance of skills-training for securing jobs in the domestic and global job-market.
2. In the realm of lifestyle and education-and-self-development, many resources focus on strategies for personal growth, accompanied by recommendations for expanding practical skills through workshops and online courses.
3. Politics, especially local politics and policy-and-legislation, play a considerable role in shaping the landscape of education-and-self-development, as policy decisions directly impact accessibility and affordability of skills-training programs.
4. The aftermath of car-accidents and fires often demands attention from policymakers in the realm of policy-and-legislation, as they necessitate proper emergency response systems, vehicle safety standards, and fire-safety regulations in homes and public buildings.
5. General-news channels and digital platforms now offer reporting on crime-and-justice, providing crucial information on the importance of law enforcement, legal systems, and rehabilitation programs for offenders, all contributing to creating safer communities.
6. To bridge knowledge gaps in policy-and-legislation, several organizations offer skills-training programs in politics, advocacy, and public policy analysis, empowering individuals to participate effectively in shaping their surroundings.
7. In the spirit of sustainability and a more balanced lifestyle, one may opt for home-and-garden practices like composting, rainwater harvesting, and energy-efficient resources, contributing to the broader goal of sustainable-living and preserving the environment for future generations.

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