Migration State and Welfare State: Competition vs. Coordination in an Economic Union

Assaf Razin and Efraim Sadka

No 21606, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We develop a political-economy model of economic union and compare the competion regime to the coordination regime. Key policy differences emerge between the two regimes: concerning the generosity of the welfare state and the skill composition of migration. We argue that the differences between the U.S. and the EU - the degree of coordination among the member states - contribute to the observed policy differences, as the model predicts.

JEL-codes: F2 F42 H1 (search for similar items in EconPapers)
Date: 2015-10
New Economics Papers: this item is included in nep-mig
Note: IFM DAE
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Related works:
Working Paper: Migration State and Welfare State: Competition vs. Coordination in Economic Unions (2016)
Working Paper: Migration State and Welfare State: Competition vs. Coordination in Economic Unions (2015)
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