Does Ad Hoc Language Training Improve the Economic Integration of Refugees? Evidence from Germany's Response to the Syrian Refugee Crisis

Given the global displacement crisis, the integration of refugees has emerged as a critical policy issue for many host countries. A key challenge involves supporting refugees in learning the language of their host country. While several European nations have instituted publicly funded language training for asylum seekers and refugees soon after their arrival, evidence on the efficacy of these early language programs in promoting economic integration remains limited. This study examines the impact of a pioneering, large-scale ad hoc program introduced by German policymakers, which provided basic language training to over 230,000 refugees arriving in 2015-16. Utilizing register data on the population of asylum seekers and exploiting a cutoff date in program eligibility, we assess the program's effectiveness using a regression discontinuity design. Our findings reveal no discernible effect on refugee employment over the subsequent two years. To explore whether language programs are generally ineffective during refugee crises, we contrast these results with the impacts of a more comprehensive, preexisting, yet smaller-scale program. Using a variety of difference-in-differences estimators, we find that this program considerably increased refugee employment. These contrasting findings offer important insights for policymakers on designing effective language training programs for refugees.