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Determinants of Immigrants' Cash-Welfare Benefits Intake in Spain

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  • Rodríguez-Planas, Núria

    () (Queens College, CUNY)

Abstract

Much of the literature on immigrants' cash-welfare benefits use has focused on countries with a large tradition of receiving immigrants and with well established Welfare states. This paper contributes to this literature by analyzing differences in cash-welfare benefits receipt between immigrants and natives and their determinants in Spain, a country with: (1) a small level of social assistance and a Welfare state heavily reliable on conditioned access to pensions; and (2) an unprecedented immigration boom. Different probit models of social program intake are estimated for immigrants and native-born individuals using pooled cross-sectional data from the 1999 to 2009 Spanish Labor Force Survey. Results show that a negative residual welfare gap exists and that it is mainly driven by recently arrived immigrants, whose legal status or insufficient contribution is likely to hamper participation in social programs. In addition, I find that immigrants with more than 5 years in the host country are more likely to receive unemployment benefits than natives, consistent with findings in other countries. These findings hold regardless of immigrants' continent of origin.

Suggested Citation

  • Rodríguez-Planas, Núria, 2012. "Determinants of Immigrants' Cash-Welfare Benefits Intake in Spain," IZA Discussion Papers 6547, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp6547
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    References listed on IDEAS

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    1. Cristina Fernández & Carolina Ortega, 2008. "Labor market assimilation of immigrants in Spain: employment at the expense of bad job-matches?," Spanish Economic Review, Springer;Spanish Economic Association, vol. 10(2), pages 83-107, June.
    2. Izquierdo, Mario & Lacuesta, Aitor & Vegas, Raquel, 2009. "Assimilation of immigrants in Spain: A longitudinal analysis," Labour Economics, Elsevier, vol. 16(6), pages 669-678, December.
    3. Hans-Werner Sinn, 2000. "EU Enlargement, Migration, and Lessons from German Unification," German Economic Review, Verein für Socialpolitik, vol. 1(3), pages 299-314, August.
    4. Muñoz de Bustillo, Rafael & Antón, José-Ignacio, 2009. "Immigration and Social Benefits in a Mediterranean Welfare State: The Case of Spain," MPRA Paper 13849, University Library of Munich, Germany.
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    Cited by:

    1. Raquel Carrasco & J. Ignacio García Pérez, 2012. "Economic Conditions and Employment Dynamics of Immigrants versus Natives: Who Pays the Costs of the “Great Recession”?," Working Papers 12.13, Universidad Pablo de Olavide, Department of Economics.

    More about this item

    Keywords

    immigrants' residual welfare use; Southern European welfare state;

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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