This paper examines how developing economies can respond to the structural concentration of innovation within the global knowledge economy by strengthening their ability to retain and engage talent. While earlier work highlighted how advanced economies attract and consolidate human capital through sustained investment and institutional strength, this study focuses on the conditions required to reduce talent outflows and improve domestic participation in innovation processes. The analysis approaches talent retention as a structural issue, shaped by differences in opportunity, infrastructure, and institutional performance. Particular attention is given to the breakdown between merit and opportunity, where institutional constraints limit the ability of individuals to translate capability into advancement. It then extends the discussion by introducing system recoverability, which considers how economies can continue to benefit from their human capital even when mobility occurs. The framework is organized around three interconnected dimensions: retention, circulation, and recoverability. Alongside this, the paper emphasizes the importance of aligning education with industry, improving institutional effectiveness, ensuring fair access to opportunity, and maintaining connections with talent across different locations. The findings suggest that improving talent outcomes requires a coordinated system-level approach rather than isolated interventions. By strengthening internal structures while supporting continued engagement with globally distributed talent, developing economies can improve their capacity to participate more actively in the production and application of knowledge.
Tumusiime et al. (Tue,) studied this question.