This paper investigates the impact of immigration on intertemporal public budgets. A modified generational accounting framework is employed to compute the average net contribution of migrants to the public sector budget in Germany. Our findings suggest that the overall fiscal contribution of immigrants is positive if they resemble current migrant residents in their economic characteristics. Therefore, immigration can decrease the fiscal burden of future resident generations. We also show that active migration policy favoring high-skilled immigrants to facilitate their labor market assimilation may considerably enlarge the positive impact of immigration on the tax burden of native residents. However, even high immigrant inflows only partially remove the intergenerational fiscal imbalance induced by aging in Germany.
Download Info
To our knowledge, this item is not available for
download. To find whether it is available, there are three
options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page
whether it is in fact available.
3. Perform a search for a similarly titled item that would be
available.
Publisher Info
Paper provided by Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics in its series EPRU Working Paper Series with number
99-17.
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.) This item has more than 25 citations. To prevent cluttering this page, these citations are listed on a separate page.
Did you know? All full texts are decentralized with the publishers, none reside on this server, thus making it possible to offer this service for free to all parties.