Advanced Search
MyIDEAS: Login to save this paper or follow this series

Immigration policy and welfare state design; a qualitative approach to explore the interaction

Contents:

Author Info

  • Victoria Chorny
  • Rob Euwals

    ()

  • Kees Folmer

    ()

Registered author(s):

    Abstract

    For the design of an immigration policy, in terms of the number and skills of the entrants and their effect on the host country, it is important to realize that the kind of welfare state matters. This study confronts three possible labour migration regimes - a temporary, an open and a selective regime - with two possible welfare state settings - a highly redistributive and a hardly redistributive welfare state. By comparing the likely outcomes between the different regimes, and by taking possible effects on the self-selection of immigrants into account, the study draws the following conclusions. First, both labour migration policy and the welfare state matter for the skill composition of labour migrants. Second, to be attractive for high-skilled labour migrants a highly distributive welfare state needs to undo its discouraging effect on these migrants. Third, a highly redistributive welfare state is attractive for low-skilled labour migrants. Because these migrants may become costly for such a welfare state once they manage to stay permanently, one should be careful with the introduction of temporary migration policies for the low-skilled.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.cpb.nl/sites/default/files/publicaties/download/immigration-policy-and-welfare-state-design-qualitative-approach-explore-interaction.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Document with number 153.

    as in new window
    Length:
    Date of creation: Oct 2007
    Date of revision:
    Handle: RePEc:cpb:docmnt:153

    Contact details of provider:
    Postal: Postbus 80510, 2508 GM Den Haag
    Phone: (070) 338 33 80
    Fax: (070) 338 33 50
    Email:
    Web page: http://www.cpb.nl/
    More information through EDIRC

    Related research

    Keywords:

    Find related papers by JEL classification:

    This paper has been announced in the following NEP Reports:

    References

    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.:
    as in new window
    1. Rotte, Ralph & Vogler, Michael, 1998. "Determinants of International Migration: Empirical Evidence for Migration from Developing Countries to Germany," IZA Discussion Papers 12, Institute for the Study of Labor (IZA).
    2. Madeline Zavodny, 1998. "Determinants of recent immigrants' locational choices," Working Paper, Federal Reserve Bank of Atlanta 98-3, Federal Reserve Bank of Atlanta.
    3. M. Dolores Collado & IÒigo Iturbe-Ormaetxe & Guadalupe Valera, 2004. "Quantifying the Impact of Immigration on the Spanish Welfare State," International Tax and Public Finance, Springer, vol. 11(3), pages 335-353, 05.
    4. George J. Borjas, 1998. "Immigration and Welfare Magnets," NBER Working Papers 6813, National Bureau of Economic Research, Inc.
    5. Storesletten, Kjetil, 1998. "Sustaining Fiscal Policy Through Immigration," Seminar Papers, Stockholm University, Institute for International Economic Studies 664, Stockholm University, Institute for International Economic Studies.
    6. Gianmarco I.P. Ottaviano & Giovanni Peri, 2006. "Rethinking the Gains from Immigration: Theory and Evidence from the U.S," Working Papers 2006.52, Fondazione Eni Enrico Mattei.
    7. Dustmann, Christian, 1999. " Temporary Migration, Human Capital, and Language Fluency of Migrants," Scandinavian Journal of Economics, Wiley Blackwell, vol. 101(2), pages 297-314, June.
    8. Borjas, George J, 1987. "Self-Selection and the Earnings of Immigrants," American Economic Review, American Economic Association, vol. 77(4), pages 531-53, September.
    9. Marianne Bertrand & Erzo F. P. Luttmer & Sendhil Mullainathan, 2000. "Network Effects And Welfare Cultures," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 115(3), pages 1019-1055, August.
    10. Daniel Chiquiar & Gordon H. Hanson, 2005. "International Migration, Self-Selection, and the Distribution of Wages: Evidence from Mexico and the United States," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 113(2), pages 239-281, April.
    11. John DiNardo & David Card, 2000. "Do Immigrant Inflows Lead to Native Outflows?," American Economic Review, American Economic Association, vol. 90(2), pages 360-367, May.
    12. Jorgen Hansen & Magnus Lofstrom, 2003. "Immigrant Assimilation and Welfare Participation Do Immigrants Assimilate Into or Out of Welfare?," Journal of Human Resources, University of Wisconsin Press, vol. 38(1).
    13. George J. Borjas & Lynette Hilton, 1995. "Immigration and the Welfare State: Immigrant Participation in Means- Tested Entitlement Programs," NBER Working Papers 5372, National Bureau of Economic Research, Inc.
    14. Dustmann, C, 1993. "Earnings Adjustment of Temporary Migrants," Journal of Population Economics, Springer, vol. 6(2), pages 153-68, May.
    15. Heather Antecol & Deborah A. Cobb-Clark & Stephen J. Trejo, 2003. "Immigration Policy and the Skills of Immigrants to Australia, Canada, and the United States," Journal of Human Resources, University of Wisconsin Press, vol. 38(1).
    16. Acemoglu, Daron, 2002. "Directed Technical Change," Review of Economic Studies, Wiley Blackwell, vol. 69(4), pages 781-809, October.
    17. David McKenzie & Hillel Rapoport, 2006. "Migration and Education Inequality in Rural Mexico," IDB Publications 9392, Inter-American Development Bank.
    18. Assaf Razin & Efraim Sadka, 1999. "Unskilled Migration: A Burden or a Boon for the Welfare State," NBER Working Papers 7013, National Bureau of Economic Research, Inc.
    19. Holger Bonin & Bernd Raffelhüschen & Jan Walliser, . "Can Immigration Alleviate the Demographic Burden?," EPRU Working Paper Series, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics 99-17, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
    20. Schmidt, Christoph M. & Stilz, Anette & Zimmermann, Klaus F., 1994. "Mass migration, unions, and government intervention," Journal of Public Economics, Elsevier, vol. 55(2), pages 185-201, October.
    21. Simonetta Longhi & Peter Nijkamp & Jacques Poot, 2004. "A Meta-Analytic Assessment of the Effect of Immigration on Wages," Tinbergen Institute Discussion Papers 04-134/3, Tinbergen Institute.
    22. Alexander Kemnitz, 2002. "On the Political Economy of Low Skilled Immigration and the Welfare State," International Tax and Public Finance, Springer, vol. 9(4), pages 423-434, August.
    23. Assaf Razin & Efraim Sadka, 2005. "The Decline of the Welfare State: Demography and Globalization," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262182440, December.
    24. Husted, Leif & Nielsen, Helena Skyt & Rosholm, Michael & Smith, Nina, 2000. "Employment and Wage Assimilation of Male First Generation Immigrants in Denmark," IZA Discussion Papers 101, Institute for the Study of Labor (IZA).
    25. Thomas Liebig & Alfonso Sousa-Poza, 2004. "Migration, Self-Selection and Income Inequality: An International Analysis," Kyklos, Wiley Blackwell, vol. 57(1), pages 125-146, 02.
    26. Ruud de Mooij, 2006. "Reinventing the welfare state," CPB Special Publication, CPB Netherlands Bureau for Economic Policy Analysis 60, CPB Netherlands Bureau for Economic Policy Analysis.
    27. George J. Borjas & Richard B. Friedman & Lawrence F. Katz, 1997. "How Much Do Immigration and Trade Affect Labor Market Outcomes?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 28(1), pages 1-90.
    28. Barry R. Chiswick, 1999. "Are Immigrants Favorably Self-Selected? An Economic Analysis," University of Chicago - George G. Stigler Center for Study of Economy and State, Chicago - Center for Study of Economy and State 147, Chicago - Center for Study of Economy and State.
    29. George J. Borjas, 1994. "The Economics of Immigration," Journal of Economic Literature, American Economic Association, vol. 32(4), pages 1667-1717, December.
    30. Boeri, Tito & Hanson, Gordon H. & McCormick, Barry (ed.), 2002. "Immigration Policy and the Welfare System: A Report for the Fondazione Rodolfo Debenedetti," OUP Catalogue, Oxford University Press, Oxford University Press, number 9780199256310, October.
    31. Wright, Robert E & Maxim, Paul S, 1993. "Immigration Policy and Immigrant Quality: Empirical Evidence from Canada," Journal of Population Economics, Springer, vol. 6(4), pages 337-52, November.
    32. Boerner, Kira & Uebelmesser, Silke, 2005. "Migration and the Welfare State: The Economic Power of the Non-Voter?," Discussion Papers in Economics 728, University of Munich, Department of Economics.
    33. Bauer, Thomas K. & Zimmermann, Klaus F., 1999. "Report No. 3: Assessment of Possible Migration Pressure and its Labour Market Impact Following EU Enlargement to Central and Eastern Europe," IZA Research Reports 3, Institute for the Study of Labor (IZA).
    34. Flavia Coda Moscarola, 2001. "The Effects of Immigration Inflows on the Sustainability of the Italian Welfare States," CeRP Working Papers 06, Center for Research on Pensions and Welfare Policies, Turin (Italy).
    35. Günter Lang, 2005. "The difference between wages and wage potentials: Earnings disadvantages of immigrants in Germany," Journal of Economic Inequality, Springer, vol. 3(1), pages 21-42, April.
    36. Neeraj Kaushal, 2005. "New Immigrants' Location Choices: Magnets without Welfare," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 23(1), pages 59-80, January.
    37. John M. Abowd & Richard B. Freeman, 1991. "Immigration, Trade, and the Labor Market," NBER Books, National Bureau of Economic Research, Inc, number abow91-1, Ekim.
    38. Philip Oreopoulos & Alan J. Auerbach, 1999. "Analyzing the Fiscal Impact of U.S. Immigration," American Economic Review, American Economic Association, vol. 89(2), pages 176-180, May.
    39. Ethan Lewis, 2003. "Local, open economies within the U.S.: how do industries respond to immigration?," Working Papers 04-1, Federal Reserve Bank of Philadelphia.
    40. Bauer, Thomas K. & Zimmermann, Klaus F., 2000. "Immigration Policy in Integrated National Economies," IZA Discussion Papers 170, Institute for the Study of Labor (IZA).
    41. Jörn-Steffen Pischke & Johannes Velling, 1997. "Employment Effects Of Immigration To Germany: An Analysis Based On Local Labor Markets," The Review of Economics and Statistics, MIT Press, vol. 79(4), pages 594-604, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:cpb:docmnt:153. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.