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Immigrant Participation in Social Assistance Programs: Evidence from German Guestworkers

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  • Riphahn, Regina

Abstract

The share of immigrants in the German social assistance program exceeds their population share and continues to grow. This study evaluates the causes of this phenomenon and tests for the effects of assimilation, cohort, age at migration, and country of origin on immigrant behaviour. It uses panel data and jointly models panel attrition, labour force status, and household social assistance dependence. Assimilation and age at migration increase the probability of social assistance dependence. In addition, the labour force status of the household head has different effects for native and immigrant welfare risks. The correction for unobserved heterogeneities in the estimation substantively affects the results.

Suggested Citation

  • Riphahn, Regina, 1999. "Immigrant Participation in Social Assistance Programs: Evidence from German Guestworkers," CEPR Discussion Papers 2318, Centre for Economic Policy Research.
    • Handle: RePEc:cpr:ceprdp:2318
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    References listed on IDEAS

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    Cited by:

    1. Azarnert, Leonid V., 2010. "Immigration, fertility, and human capital: A model of economic decline of the West," European Journal of Political Economy, Elsevier, vol. 26(4), pages 431-440, December.
    2. Riphahn, Regina, 2001. "Dissimilation? The Educational Attainment of Second Generation Immigrants," CEPR Discussion Papers 2903, Centre for Economic Policy Research.
    3. Bernt Bratsberg & Oddbjørn Raaum & Knut Røed, 2010. "When Minority Labor Migrants Meet the Welfare State," Journal of Labor Economics, University of Chicago Press, vol. 28(3), pages 633-676, July.
    4. Aleksynska, Mariya, 2007. "Civic Participation of Immigrants: Culture Transmission and Assimilation," MPRA Paper 4594, University Library of Munich, Germany.
    5. Ekhaugen, Tyra, 2005. "Immigrants on Welfare: Assimilation and Benefit Substitution," Memorandum 18/2005, Oslo University, Department of Economics.
    6. David Wildasin, 2008. "Public Finance in an Era of Global Demographic Change: Fertility Busts, Migration Booms, and Public Policy," Working Papers 2008-02, University of Kentucky, Institute for Federalism and Intergovernmental Relations.
    7. Hinte, Holger & Rinne, Ulf & Zimmermann, Klaus F., 2011. "Zuwanderung, Demografie und Arbeitsmarkt: Fakten statt Vorbehalte," IZA Standpunkte 37, Institute of Labor Economics (IZA).
    8. Kahanec, Martin & Zimmermann, Klaus F., 2008. "Migration in an Enlarged EU: A Challenging Solution?," IZA Discussion Papers 3913, IZA Network @ LISER.
    9. Guy Lacroix & Gino Santarossa & Pierre Gagné, 2003. "Une analyse de la dynamique de la dépendance à l'assistance-emploi des populations natives et immigrantes québécoises," CIRANO Project Reports 2003rp-14, CIRANO.
    10. Pedersen, Peder J. & Pytlikova, Mariola & Smith, Nina, 2004. "Selection or Network Effects? Migration Flows into 27 OECD Countries, 1990-2000," IZA Discussion Papers 1104, IZA Network @ LISER.
    11. Euwals, Rob & Dagevos, Jaco & Gijsberts, Mérove & Roodenburg, Hans, 2007. "Immigration, Integration and the Labour Market: Turkish Immigrants in Germany and the Netherlands," IZA Discussion Papers 2677, IZA Network @ LISER.
    12. Rob Euwals & Hans Roodenburg & J. Dagevos & M. Gijsberts, 2006. "Immigration, integration and the labour market; Turkish immigrants in Germany and the Netherlands," CPB Discussion Paper 75, CPB Netherlands Bureau for Economic Policy Analysis.
    13. Ndeye Penda Sokhna & Lionel Ragot & Xavier Chojnicki, 2018. "The fiscal impact of 30 years of immigration in France: an accounting approach," EconomiX Working Papers 2018-36, University of Paris Nanterre, EconomiX.
    14. Mayda, Anna Maria & Senses, Mine & Steingress, Walter, 2023. "Immigration and Provision of Public Goods: Evidence at the Local Level in the US," CEPR Discussion Papers 18054, Centre for Economic Policy Research.
    15. Hinte, Holger & Zimmermann, Klaus F., 2014. "Does the Calculation Hold? The Fiscal Balance of Migration to Denmark and Germany," IZA Policy Papers 87, Institute of Labor Economics (IZA).
    16. Kirdar, Murat, 2007. "Labor market outcomes, capital accumulation, and return migration: Evidence from immigrants in Germany," MPRA Paper 2028, University Library of Munich, Germany.

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    More about this item

    Keywords

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    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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