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Reducing income transfers to refugee immigrants: Does start-help help you start?

Michael Rosholm () and Rune Vejlin ()

Labour Economics, 2010, vol. 17, issue 1, 258-275

Abstract: We estimate the effect of lowering income transfers to refugee immigrants in Denmark - labeled start-help - using a competing risk framework. Refugee immigrants obtaining residence permit before July 2002 received larger income transfers than those who obtained their residence permit later. Exploiting this 'quasi-natural' experiment, we find that the lower income transfer has a positive effect on the job-finding rate after two years in Denmark. We also find that the exit rate from the labour force is positively affected by start-help during the early phases of the integration process. Finally, we find that those with the poorest labour market prospects are the least responsive to the improvement in economic incentives.

Keywords: Immigrants; Benefit; reduction; Unemployment; duration (search for similar items in EconPapers)
Date: 2010
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Working Paper: Reducing Income Transfers to Refugee Immigrants: Does Starthelp Help You Start? (2007) Downloads
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