What determines the net fiscal effects of migration?

Holger Hinte

IZA World of Labor, 2014, No 78, 78

Abstract: Do migration policies affect whether immigrants contribute more to public finances than they receive as transfer payments? Yes. But simply accumulating the annual fiscal transfers to and fiscal contributions by migrants is not sufficient to identify the policy impact and the potential need for reform. What is also required is measuring the present value of taxes contributed and transfers received by individuals over their lifespans. Results underscore the need for, and the economic benefits of, active migration and integration strategies.

Keywords: socio-economic effects of migration; generational accounting; immigrant selection; integration (search for similar items in EconPapers)
JEL-codes: E61 E62 F22 J61 (search for similar items in EconPapers)
Date: 2014
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