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On the Political Economy of Low Skilled Immigration and the Welfare State

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Author Info
Alexander Kemnitz ()

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Abstract

This paper inquires into the collective decision making on both unemployment insurance and immigration. It is shown that low skill immigration typically increases the contribution rate to the unemployment insurance system. This can translate into higher benefits, the increase of the economy-wide unemployment rate nonwithstanding. The host country allows for immigration only if high skilled natives are sufficiently powerful. Furthermore, political rights of immigrants are restricted to a minimum. Copyright Kluwer Academic Publishers 2002

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File URL: http://hdl.handle.net/10.1023/A:1016516019418
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Publisher Info
Article provided by Springer in its journal International Tax and Public Finance.

Volume (Year): 9 (2002)
Issue (Month): 4 (August)
Pages: 423-434
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Handle: RePEc:kap:itaxpf:v:9:y:2002:i:4:p:423-434

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Web page: http://www.springerlink.com/link.asp?id=102915

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Related research
Keywords: immigration policy; democracy; unemployment;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. David E. Wildasin, 1994. "Income Redistribution and Migration," Canadian Journal of Economics, Canadian Economics Association, vol. 27(3), pages 637-56, August. [Downloadable!] (restricted)
    Other versions:
  2. Persson, Torsten & Tabellini, Guido, 1999. "The Size and Scope of Government: Comparative Politics With Rational Politicians," CEPR Discussion Papers 2051, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  3. Moshe Justman & Jacques-Francois Thisse, 2000. "Local Public Funding of Higher Education When Skilled Labor is Imperfectly Mobile," International Tax and Public Finance, Springer, vol. 7(3), pages 247-258, May. [Downloadable!] (restricted)
  4. Hettich, Walter & Winer, Stanley L, 1988. "Economic and Political Foundations of Tax Structure," American Economic Review, American Economic Association, vol. 78(4), pages 701-12, September. [Downloadable!] (restricted)
  5. Lejour, Arjan M & Verbon, Harrie A A, 1994. " Labour Mobility and Decision Making on Social Insurance in an Integrated Market," Public Choice, Springer, vol. 79(1-2), pages 161-85, April.
  6. Mazza, Isidoro & van Winden, Frans, 1996. " A Political Economic Analysis of Labor Migration and Income Redistribution," Public Choice, Springer, vol. 88(3-4), pages 333-63, September.
  7. Assaf Razin & Efraim Sadka, 2000. "Interactions between International Migration and the Welfare State," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
  8. Michel, Ph. & Pestieau, P. & Vidal, J. -P., 1998. "Labor migration and redistribution with alternative assimilation policies: The small economy case," Regional Science and Urban Economics, Elsevier, vol. 28(3), pages 363-377, May. [Downloadable!] (restricted)
  9. Assaf Razin & Efraim Sadka, 1996. "Suppressing resistance to low-skill migration," International Tax and Public Finance, Springer, vol. 3(3), pages 413-424, July. [Downloadable!] (restricted)
  10. Arjan Lejour & Harrie Verbon, 1996. "Capital mobility, wage bargaining, and social insurance policies in an economic union," International Tax and Public Finance, Springer, vol. 3(4), pages 495-513, October. [Downloadable!] (restricted)
  11. Epple, Dennis & Romer, Thomas, 1991. "Mobility and Redistribution," Journal of Political Economy, University of Chicago Press, vol. 99(4), pages 828-58, August. [Downloadable!] (restricted)
  12. Pencavel, John H, 1984. "The Tradeoff between Wages and Employment in Trade Union Objectives," The Quarterly Journal of Economics, MIT Press, vol. 99(2), pages 215-31, May. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Karin Mayr, 2007. "Immigration and income redistribution: A political economy analysis," Public Choice, Springer, vol. 131(1), pages 101-116, April. [Downloadable!] (restricted)
  2. Tamura, Yuji, 2004. "Referendum-Led Immigration Policy In The Welfare State," The Warwick Economics Research Paper Series (TWERPS) 713, University of Warwick, Department of Economics. [Downloadable!]
  3. Victoria Chorny, & Rob Euwals & Kees Folmer, 2007. "Immigration Policy and Welfare State Design," CPB Documents 153, CPB Netherlands Bureau for Economic Policy Analysis. [Downloadable!]
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