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Immigration and Poverty: Findings from Cyprus

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  • Christos Koutsampelas

Abstract

In this paper we employ the 2009 Family Expenditure Survey conducted by the Statistical Service of Cyprus in order to measure the poverty risk among immigrants in Cyprus. Results show that immigrants face a higher risk and depth of poverty than the native population. Large intra-group variation exists. Poverty risk is considerably higher for non-Europeans and, within the group of Europeans, migrants from Western Europe are better off than those from Eastern Europe. Econometric analysis shows that the worst position of immigrants cannot be explained solely by socioeconomic characteristics, suggesting that this is the outcome of discriminatory practices in the income-generating process. Moreover, we found that the results of the analysis are sensitive to the definition of income. In particular, the inclusion of imputed rent in the notion of income increases the measured poverty gap between natives and immigrants even further, due to the lower incidence of homeownership among immigrants.

Suggested Citation

  • Christos Koutsampelas, 2012. "Immigration and Poverty: Findings from Cyprus," University of Cyprus Working Papers in Economics 13-2012, University of Cyprus Department of Economics.
  • Handle: RePEc:ucy:cypeua:13-2012
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    1. José-Ignacio Antón & Rafael Muñoz de Bustillo & Miguel Carrera, 2010. "From guests to hosts: immigrant-native wage differentials in Spain," International Journal of Manpower, Emerald Group Publishing, vol. 31(6), pages 645-659, September.
    2. Taryn Ann Galloway & Rolf Aaberge, 2005. "Assimilation effects on poverty among immigrants in Norway," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(4), pages 691-718, November.
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    8. Blume Jensen, Kræn & Gustafsson, Björn Anders & Pedersen, Peder J. & Verner, Mette, 2005. "At the Lower End of the Table: Determinants of Poverty among Immigrants to Denmark and Sweden," IZA Discussion Papers 1551, Institute for the Study of Labor (IZA).
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    11. Blume, Kraen & Gustafsson, Bjorn & Pedersen, Peder J. & Verner, Mette, 2003. "A Tale of Two Countries: Poverty among Immigrants in Denmark and Sweden since 1984," WIDER Working Paper Series 036, World Institute for Development Economic Research (UNU-WIDER).
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    14. Jorgen Hansen & Roger Wahlberg, 2009. "Poverty and its persistence: a comparison of natives and immigrants in Sweden," Review of Economics of the Household, Springer, vol. 7(2), pages 105-132, June.
    15. Rafael Muñoz de Bustillo & José-Ignacio Antón, 2011. "From Rags to Riches? Immigration and Poverty in Spain," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 30(5), pages 661-676, October.
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    Keywords

    Poverty; Immigration; Cyprus; Imputed rents;

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