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The Evils of Forced Migration: Do Integration Policies Alleviate Migrants' Economic Situations?

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  • Falck, Oliver

    ()
    (Ifo Institute for Economic Research)

  • Heblich, Stephan

    ()
    (University of Bristol)

  • Link, Susanne

    ()
    (Ifo Institute for Economic Research)

Abstract

Armed conflicts, natural disasters and infrastructure projects continue to force millions into migration. This is especially true for developing countries. After World War II, about 8 million ethnic Germans experienced a similar situation when forced to leave their homelands and settle within the new borders of West Germany. Subsequently, a law was introduced to foster their labor market integration. We evaluate the success of this law using unique retrospective individual-level panel data. We find that the law improved expellees' overall situation but failed to restore their pre-war occupation status. This holds implications for the design of integration policies today.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5829.

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Length: 33 pages
Date of creation: Jun 2011
Date of revision:
Publication status: published as 'Forced Migration and the Effects of an Integration Policy in Post-WWII Germany' in: The B.E. Journal of Economic Analysis and Policy: Topics in Economic Analysis and Policy, 2012, 12(1)
Handle: RePEc:iza:izadps:dp5829

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Keywords: integration policy; forced migration; difference-in-differences; Germany;

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References

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  1. Borjas, George J., 1999. "The economic analysis of immigration," Handbook of Labor Economics, Elsevier, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 28, pages 1697-1760 Elsevier.
  2. Olsson, Ola, 2010. "After Janjaweed? Socioeconomic Impacts of the Conflict in Darfur," Working Papers in Economics, University of Gothenburg, Department of Economics 429, University of Gothenburg, Department of Economics.
  3. Sarvimäki, Matti & Uusitalo, Roope & Jäntti, Markus, 2009. "Long-Term Effects of Forced Migration," IZA Discussion Papers 4003, Institute for the Study of Labor (IZA).
  4. Prema-chandra Athukorala & Budy P. Resosudarmo, 2005. "The Indian Ocean Tsunami: Economic Impact, Disaster Management and Lessons," Departmental Working Papers, The Australian National University, Arndt-Corden Department of Economics 2005-05, The Australian National University, Arndt-Corden Department of Economics.
  5. Card, David & Sullivan, Daniel G, 1988. "Measuring the Effect of Subsidized Training Programs on Movements in and out of Employment," Econometrica, Econometric Society, Econometric Society, vol. 56(3), pages 497-530, May.
  6. Schmidt, Christoph M, 1994. "The Economic Performance of Germany's East European Immigrants," CEPR Discussion Papers, C.E.P.R. Discussion Papers 963, C.E.P.R. Discussion Papers.
  7. Steven Brakman & Harry Garretsen & Marc Schramm, 2002. "The Strategic Bombing of German Cities during World War II and its Impact on City Growth," CESifo Working Paper Series 808, CESifo Group Munich.
  8. George J. Borjas, 1994. "The Economics of Immigration," Journal of Economic Literature, American Economic Association, vol. 32(4), pages 1667-1717, December.
  9. David Card, 1990. "The impact of the Mariel boatlift on the Miami labor market," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 43(2), pages 245-257, January.
  10. Daniel S. Hamermesh & Stephen J. Trejo, 2000. "The Demand for Hours of Labor: Direct Evidence from California," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 38-47, February.
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Cited by:
  1. Braun, Sebastian & Kvasnicka, Michael, 2012. "Immigration and Structural Change: Evidence from Post-War Germany," IZA Discussion Papers 6690, Institute for the Study of Labor (IZA).
  2. Oliver Falck & Christina Guenther & Stephan Heblich & William R. Kerr, 2010. "From Russia with Love: The Impact of Relocated Firms on Incumbent Survival," NBER Working Papers 16141, National Bureau of Economic Research, Inc.

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