Welfare Dependency among Danish Immigrants

Kræn Blume () and Mette Verner ()
Additional contact information
Kræn Blume: AKF, Postal: Institute of Local Government Studies, Denmark

No 06-6, Working Papers from University of Aarhus, Aarhus School of Business, Department of Economics

Abstract: In this paper, we investigate determinants of the welfare dependency among immigrants in an assimilation framework. The duration of stay is a major determinant of welfare dependency. Also, assimilation patterns vary substantially across immigrants from developed and less devel-oped countries, respectively. The late arriving immigrants are relatively more dependent on transfers, explaining part of the general increase in welfare dependency during the latest years. This is partly attributed to the large variation in qualifications across cohorts of immigrants. Fur-thermore, the business cycle effects of immigrants appear to be considerably larger than for na-tives.

Keywords: Welfare dependency; transfers; immigrants; assimilation; two-limit tobit (search for similar items in EconPapers)
JEL-codes: C23 C33 D31 I21 (search for similar items in EconPapers)
Pages: 50 pages
Date: 2006-09-27
New Economics Papers: this item is included in nep-eec and nep-mac
Note: Forthcoming in European Journal of Political Economy
References: Add references at CitEc
Citations: View citations in EconPapers (3)

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Journal Article: Welfare dependency among Danish immigrants (2007)
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:aareco:2006_006

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