Unemployment Benefits and Immigration: Evidence from the EU
The paper studies the impact of unemployment benefits on immigration. A sample of 19 European countries observed over the period 1993 to 2008 is used to test the hypothesis that unemployment benefit spending (UBS) is correlated with immigration flows from EU and non-EU origins. While OLS estimates reveal the existence of a moderate correlation for non-EU immigrants only, IV and GMM techniques used to address endogeneity issues yield, respectively, a much smaller and an essentially zero causal impact of UBS on immigration. All estimates for immigrants from EU origins indicate that flows within the EU are not related to unemployment benefit generosity. This suggests that the so-called 'welfare migration' debate is misguided and not based on empirical evidence.
|Date of creation:||Nov 2011|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
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.:
- Nannestad, Peter, 2007. "Immigration and welfare states: A survey of 15 years of research," European Journal of Political Economy, Elsevier, vol. 23(2), pages 512-532, June.
- repec:oup:qjecon:v:117:y:2002:i:2:p:609-657 is not listed on IDEAS
- Alon Cohen & Assaf Razin & Efraim Sadka, 2009.
"The Skill Composition of Migration and the Generosity of the Welfare State,"
NBER Working Papers
14738, National Bureau of Economic Research, Inc.
- Cohen, Alon & Razin, Assaf & Sadka, Efraim, 2009. "The Skill Composition of Migration and the Generosity of the Welfare State," CEPR Discussion Papers 7185, C.E.P.R. Discussion Papers.
- Borjas, George J, 1999.
"Immigration and Welfare Magnets,"
Journal of Labor Economics,
University of Chicago Press, vol. 17(4), pages 607-37, October.
- Pedersen, Peder J. & Pytlikova, Mariola & Smith, Nina, 2008. "Selection and network effects--Migration flows into OECD countries 1990-2000," European Economic Review, Elsevier, vol. 52(7), pages 1160-1186, October.
- Razin, Assaf & Sadka, Efraim & Swagel, Phillip, 2002.
"Tax burden and migration: a political economy theory and evidence,"
Journal of Public Economics,
Elsevier, vol. 85(2), pages 167-190, August.
- Razin, A. & Sadka, E. & Swagel, P., 1998. "Tax Burden and Migration: a Political Economy Theory and Evidence," Papers 15-98, Tel Aviv.
- Assaf Razin & Effraim Sadka & Phillip Swagel, 1998. "Tax Burden and Migration: A Political Economy Theory and Evidence," NBER Working Papers 6734, National Bureau of Economic Research, Inc.
- Axel Heitmueller, 2005.
"Unemployment benefits, risk aversion, and migration incentives,"
Journal of Population Economics,
Springer, vol. 18(1), pages 93-112, 01.
- Heitmueller, Axel, 2002. "Unemployment Benefits, Risk Aversion, and Migration Incentives," IZA Discussion Papers 610, Institute for the Study of Labor (IZA).
- Axel Heitmueller, 2002. "Unemployment Benefits, Risk Aversion, and Migration Incentives," CERT Discussion Papers 0207, Centre for Economic Reform and Transformation, Heriot Watt University.
- Barrett, Alan & Maitre, Bertrand, 2011.
"Immigrant Welfare Receipt across Europe,"
IZA Discussion Papers
5515, Institute for the Study of Labor (IZA).
- Lubomira Anastassova & Teodora Paligorova, 2005. "Why Immigrants Manage to Grab More SocialBenefits? Empirical Cross - Country Analysis," CERGE-EI Working Papers wp263, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
- De Giorgi, Giacomo & Pellizzari, Michele, 2009. "Welfare migration in Europe," Labour Economics, Elsevier, vol. 16(4), pages 353-363, August.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:8672. 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: ()The email address of this maintainer does not seem to be valid anymore. Please ask to update the entry or send us the correct address
If references are entirely missing, you can add them using this form.