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Immigration as a challenge to the Danish welfare state?

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Abstract

In a universalistic, tax-financed welfare state such as that of Denmark with strong redistribution, gains and losses from migration may be asymmetrically distributed between immigrants and natives. The redistributive welfare state both weakens the incentives of immigrants to enter the labor market and creates barriers to entry to the labor market. As a consequence, immigrants as a group are net beneficiaries of the welfare state even after extended periods of stay in the country. While soaring dependency ratios are expected in the future due to an aging native population, immigration has so far added to rather than ameliorated this problem. The Danish experience would seem to suggest that unchecked immigration and a redistributive welfare state are difficult to reconcile.

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... However, the more redistributive is the welfare state, the stronger is the incentive to free-ride, as one can let others work and pay taxes, while the free-rider obtains 'money for nothing'. Without proper economic incentives, citizens can freely choose to free ride on social benefits and enjoy without contributing (Lindbeck 1995;Paldam 2004;Andersen 2004;Nannestad 2004;Nannestad and Green-Pedersen 2008;Svendsen and Svendsen 2016). One can receive social benefits without paying for them, and taxpayers will then subsidize the free riders. ...
... Can it survive? Of course, an economic incentive exists to migrate from poor to rich welfare countries, i.e., 'welfare tourism' or 'welfare magnets' (Bergh and Bjørnskov 2016;Paldam 2004;Nannestad 2004;Borjas 1999). A number of empirical papers have addressed migrants' use of welfare programs, e.g., Schultz-Nielsen (2017), Bratsberg et al. (2014), Sarvimäki (2011), Barrett and McCarthy (2008), Rowthorn (2008) and Nannestad (2007). ...
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How robust is the welfare state when confronting open borders? To answer that question, we develop an evolutionary game-theoretic model combined with an ingroup–outgroup model. The simulations reveal that welfare states in general will transform into low-welfare societies unless the societies in time generate a sufficiently large amount of social recognition of the reciprocators in such a crisis. The recognition implies that the “always cooperators” in favour of supportive policies towards free riders need to step down and hand over privileges to those willing to reciprocate, namely the “willing punishers”. The open-border society is modelled by letting a small amount of random types enter the society each year. Interestingly, it is not the defectors who compromise high-welfare societies. Instead, it is the excessive presence of cooperators who crowd out the reciprocators, thus making society increasingly vulnerable to free riding. This accentuates the need for timely recognition and actions against the risk of moving towards a low-welfare society.
... The analysis of Nannestad (2004) provides similar results. Based mostly on the data presented by Wadensjö and Orrje (2002) he points to how immigrants from non-western countries (as a group) are net beneficiaries of Denmark's universalistic and tax-financed welfare state and this position tend to continue even after several years spent in the country. ...
... Based mostly on the data presented by Wadensjö and Orrje (2002) he points to how immigrants from non-western countries (as a group) are net beneficiaries of Denmark's universalistic and tax-financed welfare state and this position tend to continue even after several years spent in the country. Nannestad (2004) concludes that according to the Danish experience unlimited (uncontrolled) immigration creates irresolvable challenges for the Nordic type redistributive welfare regime. The problem lies, however, not necessary in immigration but rather in the construction of the welfare system. ...
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The twentieth century is commonly acknowledged as the “age of migration”. During the last 100 years population movements have intensified and, more importantly, their structure changed significantly. In terms of the geographical distribution of immigrants the European Union and traditional immigration countries became the most important target regions. In these countries immigration is commonly presented as a threat to host economies and societies. Along with this the fiscal impact of immigration are ones of the most controversial topics in recent debates on migration. Against this background this paper aims at discussing and synthesizing both theoretical and empirical literature on the fiscal impact of immigration. We hypothesize that the fiscal impacts of immigration are complex and dynamic and thus a proper assessment demands a careful empirical strategy. There is no clear or coherent theoretical framework to explain the fiscal effects of migration. The outcomes of empirical studies are mixed and they are not unequivocal. Notwithstanding, they show that, generally speaking, the fiscal impact of immigration is small. Moreover, there is no clear impact of skill level on the fiscal position of foreigners. What really matters is, instead, the type of migration, labor market incorporation (absorption) and the institutional framework at destination (the structure of the welfare state). In terms of empirical strategies we would recommend dynamic approaches, which account for the effects resulting from demographic ageing.
... It has been argued that the institutions of the Nordic welfare state are incompatible with mass migration experienced during the last two decades and that the financial burden of immigration can be substantial (Editorial 2004;Andersen 2004). Nannestad (2004), for example, observes that the Danish experience would seem to suggest that unchecked immigration and a redistributive welfare state are difficult to reconcile. However, his study focused solely on non-western rather than western immigrants. ...
... However, his study focused solely on non-western rather than western immigrants. This is an important distinction as immigrants from nonwestern countries have been net beneficiaries of the Danish state for a long period due to lower labour market participation rates and high unemployment rates compared to both immigrants from western countries and native Danes (Nannestad 2004). ...
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There has been a dramatic inflow of immigrants into Ireland in recent years. Yet recent European Social Surveys indicate that Irish attitudes towards immigrants are among the most liberal in Europe. We test the association between a number of economic and cultural measures and attitudes to immigrants at the aggregate national level. Although Ireland fits the expected association and in the predicted direction the most notable feature of our results is the lack of a clear pattern between these measures and attitudes to immigrants across the European countries in the sample.
... In this case however one needs to consider both impacts of the system as such as well as very particular structure of immigration (with large share of refugees or dependents). Wadensjö (2007), Wadensjö and Orrje (2002), Nannestad (2004) and Blume and Verner (2007) consider a fiscal contribution to the Danish treasury in case of two groups of immigrants: persons originated from well developed countries (EU, USA, Australia, Canada) and immigrants from the rest of the world and conclude that while the net contribution is highly positive in the case of the former group, the opposite holds in case of non-Western migrants 17 . Nannestad (2004) concludes that according to the Danish experience unlimited (uncontrolled) immigration creates unresolvable challenges for the Nordic type redistributive welfare regime. ...
... Wadensjö (2007), Wadensjö and Orrje (2002), Nannestad (2004) and Blume and Verner (2007) consider a fiscal contribution to the Danish treasury in case of two groups of immigrants: persons originated from well developed countries (EU, USA, Australia, Canada) and immigrants from the rest of the world and conclude that while the net contribution is highly positive in the case of the former group, the opposite holds in case of non-Western migrants 17 . Nannestad (2004) concludes that according to the Danish experience unlimited (uncontrolled) immigration creates unresolvable challenges for the Nordic type redistributive welfare regime. The problem lies, however, not necessary in the immigration itself but rather in the construction of the welfare system which is responsible for weak incentives to be economically active and also for creation of entry barriers of immigrants into the labor market through upward pressure on minimum wages. ...
Article
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Immigration has become recently one of the most important subjects in socio-economic debates. In many countries immigrants are commonly presented as a threat to host economies and societies. On top of this fiscal impacts of immigration are ones of the hottest and most controversial topics in recent debate on migration. Against this background this paper aims at (1) discussing and synthesizing both theoretical and empirical literature on fiscal impacts of immigration, and (2) assessing empirically net fiscal position of Ukrainian immigrants in Poland. On the theoretical level we show that there exists no clear or coherent theoretical framework to explain fiscal effects of migration. Outcomes of empirical studies are mixed and not unequivocal, but generally prove that fiscal impacts of immigration are small or negligible. In terms of explanation, type of migration, labor market incorporation (absorption) and institutional framework at destination (structure of the welfare state) are presented as critical factors. Importance of those factors is clearly supported by empirical analysis presented. Net fiscal position of Ukrainian immigrants in Poland is unequivocally positive (and more beneficial than it is in case of the natives). This is mostly due to favorable characteristics of incoming immigrants (in terms of age and education) and particular migration strategies in work (pure labor migration). These features, however, to a large extent result from modes of labor market incorporation and structural characteristics of the Polish welfare state.
... Only some of them were from traditionally Muslim territories -modern countries of former Yugoslavia (SFRY), Turkey and Pakistan. At the same time, by the mid-1970s, all countries of Western and Northern Europe (Scandinavian countries) took restrictive measures at the parliamentary level to regulate this process [5] [6] [7] [8] [9]. ...
... According to estimates, 900 000 people took refuge in the neighboring countries and Western Europe [10]. The episode with the occupation of the Autonomous Province of Western Bosnia (September 27, 1993 -July, 25 1995) as a result of Operation Tiger-94 (June 2 -August 21, 1994), and the consequent liquidation of the Republic of Western Bosnia (July 26 - August 7, 1995) [4][5][6][7][8][9]1995) raised the question about the internal unity of the Bosnian ethnicity. But it will concern the next, second stage of Islamic migration. ...
Article
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The paper is dedicated to the problems related to the change in the social and sociocultural structure of the countries in the Arctic region as a result of Muslim migration to the states of the Arctic region such as Scandinavian countries. Based on the review of Russian and European literature and open information sources, in this paper the authors systematize the perceptions of the migration flow from the Muslim world to Northern Europe. The formation, causes, specifics and transformation of this migration flow are considered within its entire course in chronological order and its division into periods is proposed. Each stage is judged upon and arguments are given for the chosen categorization. In addition, the events occurring in the Islamic world within the mentioned periods are reviewed. These events are systematized, synthesized and synchronized. As a result, the authors are able to reconstruct a reliable chronology of the process of Muslim migration to the Scandinavian countries and divide it into stages. In the course of the research study, the authors conclude that almost all stages of the Muslim migration wave to Northern Europe (excluding the “Initial” and most recent ones) have a systemic period of 20 years. However, some prerequisites are being formed for the present stage to be much shorter in time in comparison to the previous ones. As of 2018, two bastions of North Africa - the People’s Democratic Republic of Algeria and the Arab Republic of Egypt - are in a crisis situation by their economic, social and political indicators. This crisis cannot be interpreted as anything but a prewar situation. If the crisis in these countries is similar to the one in 2011-2014 and they are unable to withstand or transform it, the situation with Muslim migration, flows of refuges and the situation in Europe itself can turn out to be unpredictable. In today’s 2019 and in the nearest future five more countries - three Islamic Republics are in the zone of risk: Iran, Pakistan, and Afghanistan, while the Kingdom of Saudi Arabia and the Republic of Turkey and in the zone of turbulence. A catastrophe in any of these countries will itself cause an explosive leap in migration, which will spread as waves of people throughout all Eurasian regions. If a chain reaction occurs and a domino effect lasts, it will probably end up in a socio-humanitarian catastrophe of a global scale first in the regions and then on the way where people masses will flow.
... 1952, political science, Odense). While these cannot be labeled as ideological classical liberals, all have made significant academic contributions to the explanation of public expenditures, voter and interest group behavior, and the dynamics of the welfare state inspired by public choice theory (see, e.g., Borner and Paldam 1998;Mouritzen 2001;Winter and Mouritzen 2001;Christoffersen and Paldam 2003;Nannestad 2004;Christoffersen et al. 2014;Paldam 2015). ...
Article
Throughout most of the 20th century, classical liberal ideas were in decline in Danish public discourse, among academics and in politics. From circa 1980 a visible renaissance has taken place, both in terms of breadth and numbers, as well as institutional developments. The change has in large part grown out of Anglo-American developments in classical liberal scholarship. © 2015, Atlas Economic Research Foundation. All rights reserved.
... Among all persons born in Denmark 1960, or later, we had complete reference to both parents, although data was missing for those born earlier . Immigration into Denmark was very low prior to 1960, mainly comprising migrants from other Nordic and Western European countries (Nannestad, 2004). Therefore, for ethnic density we assigned all those with missing parental data as Danish. ...
Article
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Background: Rates of psychotic disorder are raised for many migrant groups. Understanding the role played by the social context in which they live may help explain why. This study investigates the effect of both neighbourhood ethnic density and urbanicity on the incidence of non-affective psychosis for migrant groups. Method: Population based cohort of all those born 1965 or later followed from their 15th birthday (2,224,464 people) to 1st July 2013 (37,335,812 person years). Neighbourhood exposures were measured at age 15. Results: For all groups incidence of non-affective psychosis was greater in lower ethnic density neighbourhoods. For migrants of African origin there was a 1.94-fold increase (95% CI, 1.17-3.23) comparing lowest and highest density quintiles; with similar effects for migrants from Europe (excluding Scandinavia): incidence rate ratio (IRR) 1.99 (95% CI, 1.56-2.54); Asia: IRR 1.63 (95% CI, 1.02-2.59); and the Middle East: IRR 1.68 (95% CI, 1.19-2.38). This initial analysis found no evidence for an urbanicity effect for migrant groups. Adjusting for ethnic density revealed a positive association between level of urbanicity and psychosis for two groups, with a statistically significant linear trend (average effect of a one quintile increase) for migrants from Europe: IRR 1.09 (95% CI, 1.02-1.16) and the Middle East: IRR 1.12 (95% CI, 1.01-1.23). Conclusions: In this first nationwide population-based study of ethnic density, urbanicity and psychosis we show that lower ethnic density is associated with increased incidence of non-affective psychosis for different migrant groups; masking urban/rural differences in psychosis for some groups.
... For example, largescale migration into the EU over the past four decades and mainly from less developed, non-western countries, has created labour market integration problems in most host countries. Labour market integration can be considered a public good for society at large (Nannestad, 2004). Such labour market integration has, however, been problematic for some groups of immigrants in the EU due to labour market problems within the EU. ...
Article
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Policy making is a complex issue, as numerous factors should be taken aboard before a political decision is made. To ensure a more holistic approach to policy making, the authors propose to use the tool of foresight to capture the multitude of variables. Using the framework of rational choice theory on an empirical example of the serious security problems that unfolded in Europe in November 2015, the authors demonstrate how foresight, which draws on stakeholder knowledge and available information to connect the dots between fields and scattered information, would lead to more holistic and coordinated joint policy decisions. This would aid in establishing the optimal amount of public goods for which tax-payers' money is to be invested. Currently, Europe stands at an important crossroad as to what its future will be. Some political decisions have been made, and some are still to be made. Not every European citizen is satisfied with all recent political choices, as reflected in the rise of Eurosceptic moods and extremist political parties. Yet, in a democratic society, European citizens, taxpayers and voters have the right to expect sound political decisions. To this end, the authors propose the use of the foresight tool. Such a vision for Europe could further improve future policy making to the benefit of all EU citizens. The success of foresight and stake-holders' groups for making sound decisions where best to invest tax-payers' money, was already piloted in European Commission's Directorate General for Research and Innovation. This was achieved thanks to operating a high-level stakeholder group, the European Forum on Forward Looking Activities (EFFLA), which provided both vision and advice.
... In the alternative Heckscher-Ohlin model of international economics in which all factors of production are domestically intersectorally mobile, immigration is depoliticized by the Rybczynski Theorem (Hillman 1994;Hillman and Weiss 1999). Hillman 2003;Nannestad 2004Nannestad , 2007Gaston and Rajaguru 2013), workers have been disadvantaged in having been required to pay taxes to finance immigrants' income transfers. There is therefore an immigration-policy puzzle: why have political parties that represent workers chosen immigration policies that are contrary to their core constituents' interests? ...
Article
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Immigration policies in western democracies have often been contrary to the predictions of the mainstream theory of international economics. Political parties that are predicted to adopt policies beneficial for lower-income constituents have not protected workers from labor-market competition. Nor have workers been protected from a fiscal burden of financing incomes and benefits for welfare-dependent immigrants. We explain the contradiction by immigrants being future voters. We give a hearing to alternative interpretations.
... Most welfare states have interrupted their programmes of international recruitment of low-skilled workers since the oil shock of the mid-1970s. The subsequent flows, consequently, have taken place either irregularly or through programmes that are not labour market related: family reunification, asylum and humanitarian protection. 2 In welfare states characterised by non-contributory income support programmes and by a weak demand for low-skilled labour, the percentage of unemployed immigrants on welfare may be noticeable, as in the case of the Scandinavian countries (Brucker, Epstein et al. 2001, Nannestad 2007. It has also been observed that immigrants' disadvantages in the labour market tend to be reproduced intergenerationally (Heath, Rothon et al. 2008, Alba 2009). ...
... Even in the liberal Scandinavian countries, non-western immigrants are perceived to pose problems for extant universal welfare systems. It has been argued that the institutions of the Scandinavian welfare state are incompatible with mass migration experienced during the last two decades and that the financial burden of immigration can be substantial (Andersen 2004;Nannestad 2004;Paldam 2004). ...
Article
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The enlargement of the European Union (EU) and the subsequent global economic recession has drawn attention to individual-level attitudes towards immigrants across Europe. In this context, using the European Social Survey (ESS), we compared Irish attitudes towards immigrants with those in 12 other European countries at 3 critical moments in time - prior to large immigration flows in 2002; at the height of the economic boom in 2006; and after the global financial crash in 2008. Our descriptive analysis examines whether significant changes in attitudes towards immigrants has occurred in the EU as a whole and within individual countries over time. We predicted that fluctuations in economic condition such as the rise in unemployment would affect attitudes towards immigrants. This relationship receives some support from our findings. In Ireland, positive attitudes to immigrants between 2006 and 2010 decreased and negative attitudes increased, on all attitudinal measures, more sharply than in any of the other European countries. Taking the 12 countries as a whole, attitudes have tended to polarise particularly with regard to allowing access to immigrants and their impact on the economy. This research reveals worrying trends in attitudes to immigrants in European countries, particularly in light of the importance of immigrants to the European labour market, both currently and in the future.
... The Scandinavian countries and the United Kingdom represent two opposite examples. In the first case, most of the available studies document a relatively larger scale of net welfare consumption by migrants than by natives (Storesletten 2003;Hansen & Lofstrom 2003Nannestad 2004). Available data for the United Kingdom show rather positive and significant contributions of migrants to the treasury and net fiscal gains for the British economy, particularly in the post-accession period (Gott & Johnston 2002;Pollard, Latorre & Sriskandarajah 2008;Dustmann, Frattini & Halls 2010). ...
... From their study between recently arrived immigrants in the US and Australia, Miller and Neo found that due to wage awards and unionisation of wages, immigrants in Australia, a country with high trade union coverage, are more unemployed than their counterparts in the US, where wages are very flexible. The existence of such wage floor leads not only to a higher rate of unemployment, but also decreases the opportunities for training (Nannestad, 2004). Where the migrants' productivity in the US is rising rapidly over the years of residency, in Australia the growth in "skills specific to the Australian labour market appears to cause productivity to move more in line with the institutionally determined wages" (Miller & Neo, 2003: 353). ...
... seek out welfare states where they will become beneficiaries of income transfers from government (Nannestad 2004(Nannestad , 2007. ...
Chapter
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A major contribution of the public-choice school is the recognition by Gordon Tullock that contestable rents give rise to social losses because of unproductive resource use. Contestable rents usually are politically assigned privileges. Contestable rents can also be found outside of government decisions. We describe the example of rents in academia in different cultures. The primary empirical question regarding rent seeking concerns the magnitude of the social loss from the contesting of rents. Direct measurement is impeded by lack of data and indeed denial that rent seeking took place. Contest models provide guidance regarding social losses. We provide a generalized contest model. Social losses from rent seeking are diminished in high-income democracies because rent seeking usually takes place by groups seeking 'public good' benefits. Rents are also less visible in democracies, because political accountability requires that rents be assigned in indirect non-transparent ways. These restraints are not present in autocracies, where rent seeking is also facilitated by corruption and by the need to influence a smaller number of decision makers. Ideology can influence whether rent seeking is recognized to exist. JEL-Codes: H000.
... The unemployment rate among immigrants in the labour force was some three times the unemployment rate among natives. As a consequence, immigrants from non-western countries have so far been net-beneficiaries of the welfare state, even after prolonged periods of stay (Nannestad, 2004). Similar situations exist in other welfare states, like Sweden. ...
Article
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Large parts of the population of third-world immigrants to rich countries have not been successfully integrated into domestic labor markets and so are not gainfully employed. A potential "immigration surplus" is therefore not realized. These circumstances have been explained with reference to irrational behaviour by natives (acting out of racism) and/or malevolent motives of either natives or immigrants, or both. In this paper, I propose an explanation for labour-market exclusion of immigrants as the optimal outcome of objectives of rational egalitarianism: that is, all people are rational and behave solely in accord with morally and socially irreproachable motives. The explanation fits the stylized facts of the Danish case and the associated predictions are consistent with observed inter-country differences in labour-market exclusion of immigrants.
... Given the weak long-term labour market performance of the 1970s wave of labour migrants from low-income source countries, one might expect their children to be less successful than children of native parents. Existing empirical evidence shows large intergenerational correlations in labour market performance in general (see the review in Black and Devereux, 2011), for immigrants in particular (Casey and Dustmann, 2008) and also a more specific tendency for social insurance dependency to spread within various kinds of social networks, including those of families (Dahl et al., 2013) and ethnic minorities (Bertrand et al., 2000;Aizer and Currie, 2004;Markussen and Røed, 2014). On the other hand, compared to their parents, the immigrant children grew up in a fundamentally different environment that may have contributed to substantial assimilation across generations. ...
Article
Using longitudinal data from the date of arrival, we study long-term labour market and social insurance outcomes for all major immigrant cohorts to Norway since 1970. Immigrants from high-income countries performed as natives, while labour migrants from low-income source countries had declining employment rates and increasing disability programme participation over the lifecycle. Refugees and family migrants assimilated during the initial period upon arrival but labour market convergence halted after a decade and was accompanied by rising social insurance rates. For the children of labour migrants of the 1970s, we uncover evidence of intergenerational assimilation in education, earnings and fertility.
... On one hand, many believe that ethnic networks increase dependency by lowering information costs about welfare systems and how to benefit from them-high network use is believed to encourage increased individual utilization of the welfare system and lower the stigma associated with dependence. 22 Nannestad (2004) finds that assimilation into welfare dependency occurs because of these network effects. ...
... This could be a consequence of the high skilled level of immigrants in this country, or just the result of the conditions to be eligible to welfare (people need to be settled since at least 2 years before being authorized to apply for any assistance). For every other country, immigrants appear more dependent than native people, with some peculiarities between countries (in Sweden, the dependence decreases with duration (Hansen & Lofstrom, 2003) conversely to Denmark where it remains as heavy as during the first months (Nannestad, 2004)). Thereby we really often are back to the conclusion of Brücker & al (2002), also emphasized by the papers of Borjas: differences in the objective characteristics of migrants do not explain the overall gap in the dependence to the welfare system. ...
Article
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In this paper 1 , we use the survey "Budget of the households 2006" 2 that is proposed by INSEE (French National Institute of Statistics), in order to bring to light the link between immigration in France and the appeal to its welfare system: familial assistance, retirement, health, housing assistance, unemployment benefits and RMI (which is the French Minimum Guaranteed Income). Our results underline the fact that when we control for differences in characteristics between natives and immigrants, the over representation of migrants among the beneficiaries of social protection is noticed only for the unemployment benefits and for the RMI (in top of an over representation also on housing assistance, in particular for the populations born in North Africa). Their dependence in other social protection disposals (familial allocations, retirement and health subsidies) is not significally different from those of natives. We then try to give some explanations for these phenomena and provide a little discussion on migration policy.
... Economic push factors include unemployment, underemployment, low wages, relative income inequality, and poor household income diversification (Esses, Wright, Thomson, & Hamilton, forthcoming;Hagen-Zanker, 2008;Massey et al., 1993). Economic pull factors include higher relative wages, a labour market with lower income inequality, low unemployment rates, economic growth, market stability, and social welfare programs (Esses et al., forthcoming;Grubel & Grady, 2011;Hagen-Zanker, 2008;Massey et al., 1993;Nannestad, 2004). We place (lack of) education opportunities into the category of economic push and pull factors given its strong links with economic outcomes. ...
Technical Report
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This report provides a review and analysis of the literature on the social, economic, and other factors determining migration patterns to Canada and Alberta. It is based on a comprehensive systematic scoping review of the relevant literature. A push-pull framework is used to understand the negative social, economic, and other factors associated with the origin location that ‘push’ people to emigrate, and the positive factors associated with the destination, which ‘pull’ individuals to immigrate to specific locations.
... Remaining discrepancy, often referred to as residual welfare dependency, can be explained by a number of factors, such as self-selection, discriminatory practices, network effects or relatively lower wages (Brücker et al. 2002). Nannestad (2004) suggests that barriers in access to labour market play an important role in shaping immigrant welfare dependency in Denmark. Similarly, Hansen and Lofstrom (2009) point to the large proportion of refugees in Swedish immigrant population as a reason for a higher dependency. ...
Article
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Immigration is one of the heavily discussed subjects in modern academic and political debate. In recent decades, fiscal effects of international migration remained the centre of interest. The goal of this paper is to review and synthesise the available literature, devoted to the relationship between immigration and welfare systems, in order to present the state of the art in this area and draw conclusions for further research. Despite extensive literature, it is difficult to find an unambiguous answer to the question, whether immigrants are a burden or an asset to the state with redistributive policies. Moreover, some of the assumptions and approaches widely used in presented articles appear too simplistic or even unfounded.
... We had complete reference to both parents for all those born in Denmark in 1960 or later (Pedersen et al., 2006). Because immigration into Denmark was very low prior to 1960, mainly from adjoining countries (Nannestad, 2004), we therefore assumed parish members born in Denmark with missing parental data were Danish. ...
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Introduction Living in an area with few people from the same ethnic background has been associated with increased incidence of psychosis (the ethnic density effect). Objectives Compare associations between neighbourhood ethnic density and incidence of non-affective psychosis for first and second generation migrants. Methods Population based cohort (2.2 million) of all those born 1st January 1965 or later and living in Denmark on their 15th birthday. We looked at a total of 106,000 migrants, including 62% first generation migrants. Ethnic density was determined at age 15 and we adjusted for age, gender, calendar period, parental psychiatric history and parental income at age 15. Results For the first generation, we found no evidence that rates of non-affective psychosis were related to neighbourhood ethnic density for migrants from Africa (comparing lowest and highest quintiles): IRR 1.02 (95% CI 0.6–1.73), and the Middle East: IRR 0.96 (CI 0.68–1.35) and only weak evidence for migrants from Europe (excluding Scandinavia): IRR 1.35 (CI 0.98–1.84). Conversely, for the second generation rates of non-affective psychosis were increased for migrants from Africa in lower ethnic density neighbourhoods (comparing lowest and highest quintiles): IRR 3.97 (95% CI 1.81–8.69), Europe (excluding Scandinavia): IRR 1.82 (CI 1.28–2.59) and the Middle East: IRR 2.42 (CI 1.18–4.99). Conclusions There is strong evidence for an area ethnic density effect on psychosis incidence for second generation migrants, but not for first generation migrants. This could reflect a greater resilience among the latter group to the adverse effects of minority status.
... But policymakers across the political spectrum have increasingly painted immigrants not as equal members of the system but as a "pressure" on the welfare state and a threat to social cohesion (Brochmann & Hagelund, 2011, pp. 13-14;Koopmans, 2010;Nannestad, 2004). The Danish Parliament has severely tightened immigration regulations, resulting in one of the most restrictive immigration policies in Europe (Green-Pedersen & Krogstrup, 2008;Green-Pedersen & Odmalm, 2008). ...
Article
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Contestations over immigration, citizenship, and belonging play out every day in urban public space. In this article we study the design processes and use of two Copenhagen parks, Superkilen and Mimersparken, to explore the creation of public space and the “public” in Denmark. Who is part of the Danish “public”? What right do immigrant residents have to shape public space and their neighborhoods? How are the boundaries of Danish national identity policed and contested in public space in Copenhagen? The Danish government has increasingly moved toward far-right anti-immigrant stances, even while Copenhagen promotes a multicultural vision of a diverse and cosmopolitan city. Superkilen and Mimersparken illustrate the shortcomings of Copenhagen’s multiculturalism: though Copenhagen celebrates immigration, it left little space for residents to make meaningful decisions as political actors. In the case of Superkilen and Mimersparken, designers’ stylized idea of immigration is more celebrated than the actual presence of immigrant residents.
... Claiming that Denmark, in the past, has been a front runner in the implementation of liberal migration policies is not, however, to argue that the political landscape within the country has been devoid of any criticism of the influx of foreigners. Especially with the implementation of the Aliens Act, conservative politicians considered migrants to be an invasive demographic presence that would have a detrimental impact on the economic, socio-political and cultural character of Danish society (Hvenegaard-Larsen 2002; Mouritsen and Olsen 2013;Jørgensen 2006;Nannestad 2004). This antagonistic narrative has only intensified over the years and, especially in the past decade, public intellectuals and politicians have consistently raised severe concerns regarding immigrants in general and refugees in particular becoming a burden on the Danish welfare state -not least in terms of their limited integration into the Danish labour market (The Ministry of Finance 2017). ...
Book
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This open access book discusses how, and to what extent, the legal and institutional regimes and the socio-cultural environments of a range of European countries (the Czech Republic, Denmark, Finland Greece, Italy, Switzerland and the UK), in the framework of EU laws and policies, have a beneficial or negative impact on the effective capacity of these countries to integrate migrants, refugees and asylum seekers into their labour markets. The analysis builds on the understanding of socio-cultural, institutional and legal factors as “barriers” or “enablers”; elements that may facilitate or obstruct the integration processes. The book examines the two dimensions of integration being access to the labour market (which, translated into a rights language means the right to work) with its corollaries (recognition of qualifications, vocational training, etc.), and non-discriminatory working conditions (which, translated into a rights language means right to both formal and substantial equality) and its corollaries of benefits and duties deriving from joining the labour market. It thereby offers a novel approach to labour market integration and migration/asylum issues given its focus on legal aspects, which includes most recent policy changes and legal decisions (including litigation cases). The robust, evidence-based and comparative research illustrated in the book provides academics and students, but also practitioners and policy makers, with updated knowledge that will likely impact positively on policy changes needed to better address integration conundrums.
... Claiming that Denmark, in the past, has been a front runner in the implementation of liberal migration policies is not, however, to argue that the political landscape within the country has been devoid of any criticism of the influx of foreigners. Especially with the implementation of the Aliens Act, conservative politicians considered migrants to be an invasive demographic presence that would have a detrimental impact on the economic, socio-political and cultural character of Danish society (Hvenegaard-Larsen 2002;Mouritsen and Olsen 2013;Jørgensen 2006;Nannestad 2004). This antagonistic narrative has only intensified over the years and, especially in the past decade, public intellectuals and politicians have consistently raised severe concerns regarding immigrants in general and refugees in particular becoming a burden on the Danish welfare state -not least in terms of their limited integration into the Danish labour market (The Ministry of Finance 2017). ...
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Historically, Denmark was a “first-mover” as a signatory to liberal international humanitarian laws and conventions, especially with regard to refugees. Yet, in recent years Denmark has cherished the role of a different kind of “first mover” – namely as hardliner when it comes to immigration policies. This is evident in the existent political discourse and restrictive immigration policies personified not least in the number of times Denmark has altered (and tightened) immigration regulations. Yet, we demonstrate that, while “barriers” exist in terms of entering Denmark, the Danish labour market structure is such that it ends up facilitating refugees’ integration and legally protecting their labour rights. To be sure, this protection is a way of guaranteeing the rights of Danish workers who would adversely be affected by the proliferation of an unregulated labour market where refugees are compelled to work under worse legal and economic conditions. However, the Danish case ends up being one where, counterintuitively, legal barriers (to entering the labour market) coexist alongside enabling factors (legal guarantees) of refugees’ rights.
... At the same time, the requirements and conditions for gaining residence and family reunification were simplified. Due to its relatively few requirements for obtaining the refugee status, the act became known for its liberal and humanitarian outlook (Mikkelsen 2008). In the immediate years after its entry into force, thousands of refugees fleeing from conflict and war in Iran, Iraq, and Palestine arrived in Denmark. ...
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The Danish welfare state is together with its Nordic counterparts often presented as distinct. The model has traditionally been characterised as universalist, de-commodified, residence-based, non-contributory and relatively generous. Although social protection in Denmark is still primarily tax-financed and several benefits remain universal, the Danish welfare state has undergone considerable change over time and labour market participation has come to matter more for the social protection provided. Furthermore, migrants’ access to welfare in Denmark increasingly depends on citizenship and EU related worker status. Residence clauses have been adopted for specific benefits. Eligibility depends on years resided in Denmark, unless the applicant qualifies as a worker according to EU law and therefore can aggregate periods of residence from one or several other EU Member States. In sum, social protection in Denmark has become more multi-tiered and more EU commodified.
... In the Danish case, the strong welfare state provides, on the one hand, a supportive infrastructure for the reception of immigrants and asylum seekers and their integration in the Danish society. On the other hand, immigration is often seen as a challenge to the universalistic, tax-financed welfare state (Duru et al., 2020;Nannestad, 2004). We thus observe a parallel development in Denmark of a proliferation of TSOs in support of refugee and immigrant solidarity and simultaneously increasing state restrictions to control the intake of new migrants and their access to welfare services that is paired with a general attitude of 'welfare chauvinism' among the population (Trenz and Grasso, 2018). ...
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Over the last decade, the unprecedented influx of refugees and migrants into the European Union has posed a significant challenge to Europe, with solidarity being contested at two fronts: first, the question of solidarity with refugees in terms of meeting adequate measures of protection and satisfying their elementary needs; and second, the question of solidarity within the European Union in terms of sharing the costs and burden of hosting these refugees among the member states. One driving factor of these contestations is that the solidarity challenge in facing the ‘refugee crisis’ is taken up differently in transit countries in the South of Europe and destination countries in the North. Wishing to shed light on how national contexts impact transnational solidarity organising, we draw on a fresh set of cross-national evidence from a random sample of 277 transnational solidarity organisations (TSOs) in Greece, Germany, and Denmark. The aim is to illustrate the effects of political opportunities and threats during the 2007–2016 crises period on migration-related solidarity activities organised by TSOs. We will do so through tri-national comparisons tracing the patterns in which migration-related TSOs appear through time. The data used is produced in the context of the TRANSSOL project by a new methodological approach (action organisation analysis) based on hubs-retrieved organisational websites and their subsequent content analysis.
...  Finding of very different results between countries with respect to where immigrants are using welfare programs more intensively than natives. Nannestad (2004) raises the broad question of whether immigration – with focus on non-western immigrants – is a solution to the problem of ageing of the Danish population or whether it is a challenge for the Danish welfare state. The conclusion in Nannestad (2004) is that so far nonwestern immigration has had a negative net impact on the fiscal balance ...
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The purpose in this paper is to summarize existing evidence on welfare dependence among immigrants in Denmark and to supply new evidence with focus on the most recent years. Focus is on immigrants from non-western countries. The paper contains an overview of the background regarding immigration in recent decades followed by a survey of relevant benefit programmes in the Danish welfare state. Existing studies focus on both macro analyses of the overall impact from immigration on the public sector budget and on micro oriented studies with focus on specific welfare programs. Existing studies focus on the importance for welfare dependence of demographic variables, on the big variation between countries of origin and on the importance of cyclical factors at time of entry and during the first years in the new country. Evidence from the most recent years reinforce the importance of aggregate low unemployment in contrast to fairly small effects found from policy changes intending to influence the economic incentives between welfare and a job for immigrants.
... There also are growing objections to state demands to fund these programs through taxation (Boeri, Hanson, and McCormick 2002;Roemer and Van der Straeten 2006;Hero and Preuhs 2007;Van Oorschot 2008). Despite a lack of clear-cut evidence (Trebilcock and Sudak 2006), much consternation has been expressed concerning the overuse of social welfare benefits and services by immigrants and the sense that this usage places an unacceptable burden on native taxpayers (Wellisch and Walz 1998;Nannestad 2004). Some observers instead view immigration as a possible solution to the drop in fertility rates and the marked Fig. 1.-Immigration to Israel, 1948 growth of elderly, dependent populations in advanced capitalist societies (Brochmann and Hammar 1999). ...
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Immigration is an issue of growing relevance in welfare states. This article seeks to better understand the link between social welfare and immigration in Israel, a welfare state that has absorbed a greater proportion of immigrants than any other. Employing a conceptual framework that looks at both immigration policy and the structuring of the social welfare system, the article examines the impact of the Israeli system on the welfare of immigrants and members of other groups in society. The unique structuring of the social welfare system in Israel, described as categorical universalism, and its immigration policy are linked to what Sammy Smooha calls an "ethnic democracy."
... Third, the fertility rate of citizens from third-party countries is considerably higher than the one for ethnic Danish citizens. Followingly, there has been a growth in the number of immigrants from 3% in 1980 to 9.8% today. 1 Of the immigrant group, the so-called non-western immigrants are a relatively large percentage (Nannestad 2004). There are no official statistics on the number of Muslim immigrants, but their share of the population in recent years was estimated to be 3.8% (Warburg and Jacobsen 2007). ...
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To answer why sports clubs have been ascribed a central role in resolving integration issues in Denmark, this article refers to the anthropology of policy. First, policy is defined as what Mauss has called ‘a total social fact’. In other words, policy is a social phenomenon that reflects the history and culture of the society in which it is created. Second, policy is seen as discourses that are articulated by specific institutions, and third, the anthropological perspective focuses on the ways in which policy is applied and interpreted in practice. The first part of this article therefore explores Danish immigration history and the development of an integration policy that currently focuses on adaptation of the cultural values and norms of immigrants. The second part of this article looks at current state funds that aim to promote this kind of adaptation through sports. It becomes clear that sports clubs are seen as organizations that distribute social capital, promote equality in society and facilitate informal learning. The third part of this article refers to a number of studies that highlight the ways in which club leaders, coaches and members (with ethnic Danish as well as non-Danish ethnic background) appropriate these political assumptions.
... The Scandinavian countries and the United Kingdom represent two opposite examples. In the first case, most of the available studies document a relatively larger scale of net welfare consumption by migrants than by natives (Storesletten 2003;Hansen & Lofstrom 2003Nannestad 2004). Available data for the United Kingdom show rather positive and significant contributions of migrants to the treasury and net fiscal gains for the British economy, particularly in the post-accession period (Gott & Johnston 2002;Pollard, Latorre & Sriskandarajah 2008;Dustmann, Frattini & Halls 2010). ...
... In 1973 a halt was put on immigration in the wake of oil price crisis. But as a result of family reunification and asylum requests the number of immigrants and descendants, as they are officially designated, has continued to grow so by 1980 immigrants made up 3% of the population and 9.1% today. 2 In particular, the number of immigrants and descendants from non-Western countries has increased during the last 25 years (Nannestad 2004). There is no official statistics about the number of Muslim immigrants, but their percentage of the population has recently been estimated at 3.8% (Warburg and Jacobsen 2007). ...
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Increased public funding, more governmental involvement and an emphasis on the instrumental values of physical activities have in general become characteristic of Western nations' policies towards sport. Denmark is, however, a little different in that there is still little political intervention in sport, although sports clubs do get economic support and are seen as having the potential to solve crucial social issues. The purpose of this article is to analyse and discuss the ways in which the political assumption that sport can enhance social integration is reflected in the practical governance of integration issues in particular in sports clubs. The article is based on a local field study in which we interviewed 10 talented football players with ethnic minority backgrounds and eight coaches and club leaders from six different football clubs. Distinguishing between integration and assimilation, the analysis shows that coaches (and the Danish football governing bodies) employ a strategy of integration towards ethnic minority players' different preferences for food and clothing. However, in the daily practice of football the clubs have an implicit strategy of assimilation. The coaches attempt to treat everyone the same (no matter the ethnicity and background of the players). Inspired by anthropological studies this is analysed as a common way to downplay differences between the members of a society (or in this case a football team and club) and to enhance instead an 'imagined sameness' that is central to the national self-understanding in Nordic countries. This leads us to discuss a possible change of strategy for elite sports clubs to develop explicit policies for their work with ethnic minorities.
... It is thus much easier to present newcomers to Denmark as net beneficiaries of the welfare state, especially in light of their comparatively low labour-market participation rates (e.g. Nannestad, 2004). Together, these features help to spread the perception that immigrants fail to contribute to the proper functioning of the welfare state and fail to behave like good community members (i.e. ...
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This paper investigates how and why welfare state universalism can shape the integration of migrants into the national community. Universalism is broadly regarded as central to the integrative and solidarity-building potential of welfare states, but we argue that the traditional approach to understanding the concept is fraught with inconsistencies. Rather than comparing welfare states using the classical universalist-selectivist dichotomy, we suggest that they should be thought of as embodying various 'packages' of universalist traits-all of which are unified by their connection to a core, self-sustaining logic of solidarity. A comparison of Canadian and Danish universalism allows us to draw out how (indiscriminate/selectivist) 'community perks' traits and (inclusive/exclusive) 'community scope' ones may interact in unexpected ways. This, in turn, helps us better understand how and why 'classically universalist' Denmark is facing threats to solidarity and migrant integration that are much more intense than those found in 'classically selectivist' Canada.
... We had complete reference to both parents for all those born in Denmark in 1960 or later (Pedersen et al., 2006). Because immigration into Denmark was very low prior to 1960, mainly from adjoining countries (Nannestad, 2004), we therefore assumed parish members born in Denmark with missing parental data were Danish. ...
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Background: For different migrant groups living in an area with few people from the same ethnic background is associated with increased psychosis incidence (the ethnic density effect). We set out to answer the question: are there generational differences in this effect? Methods: Analysis of a population based cohort (2.2 million) comprising all those born 1st January 1965, or later, living in Denmark on their 15th birthday. This included 90,476 migrants from Africa, Europe (excluding Scandinavia) and the Middle East, with 55% first generation and the rest second-generation migrants. Neighbourhood co-ethnic density was determined at age 15 and we adjusted for age, gender, calendar period, parental psychiatric history and parental income. Results: For first-generation migrants from Africa, there was no statistically significant difference (p=0.30) in psychosis rates when comparing lowest with highest ethnic density quintiles, whereas the second generation showed a 3.87-fold (95% CI 1.77-8.48) increase. Similarly, for migrants from the Middle East, the first generation showed no evidence of an ethnic density effect (p=0.94) while the second showed a clear increase in psychosis when comparing lowest with highest quintiles, incidence rate ratio (IRR) 2.43 (95% CI, 1.18-5.00). For European migrants, there was some limited evidence of an effect in the first generation, (IRR) 1.69 (95% CI, 1.19-2.40), with this slightly raised in the second: IRR 1.80 (95% CI, 1.27-2.56). Conclusions: We found strong evidence for an ethnic density effect on psychosis incidence for second-generation migrants but this was either weak or absent for the first generation.
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This contribution analyses centre-right parties' attitudes and positions on immigration and integration in Denmark and Sweden. Despite the two countries being socio-economically and culturally similar, there are some significant political and structural differences which help to explain why immigration has played a much more prominent role in Danish politics compared to Swedish politics. The article argues that this can be explained with reference to, on the one hand, the stability of bloc party politics and, on the other, the extent to which centre-right parties have exploited ‘the immigration issue’ as a profiling tool. The findings suggest that even though Denmark has adopted a much tougher stance on immigration and integration compared to Sweden, the political climate in the latter has also undergone a number of changes in the past decade which have allowed centre-right and radical right parties to use immigration to challenge the prevailing cross-party consensus on the issue by suggesting a more market-oriented integration policy.
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This paper discusses findings from a small scale qualitative study of low-income Pakistani families resident in Hong Kong, SAR. The greatest assistance for most families was access to the state social security benefit system. Yet, this was also viewed in ambivalent terms when interpreted within a traditional and gendered discourse revolving around challenges to patriarchal authority. State benefits were viewed as an attractive, if subversive resource for women seeking greater autonomy, particularly in cases of domestic violence. Life in Hong Kong was regarded as contributing to a perceived erosion of Pakistani cultural and religious attitudes that could lead to family dysfunction.
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We test whether immigrants are more prone to support terror than natives because of lower opportunity costs, using the international World Values Survey data. We show that, in general, economically, politically and socially non-integrated persons are more likely to accept using violence for achieving political goals, consistent with the economic model of crime. We also find evidence for the destructive effects of a 'clash of cultures': Immigrants in OECD countries who originate from more culturally distanced countries in Africa and Asia appear more likely to view using violence for political goals as justified. Most importantly, we find no evidence that the clash-of-cultures effect is driven by Islam religion, which appears irrelevant to terror support. As robustness test we relate individual attitude to real-life behavior: using country panels of transnational terrorist attacks in OECD countries, we show that the population attitudes towards violence and terror determine the occurrence of terror incidents, as does the share of immigrants in the population. A further analysis shows a positive association of immigrants from Africa and Asia with transnational terror, while the majority religion Islam of the sending country does not appear to play a role. Again, we find that culture defined by geographic proximity dominates culture defined by religion. seminar participants of the University of Gothenburg and the University of Hamburg for helpful comments and suggestions. This paper was inspired by the public discussions triggered by T. Sarrazin's recent publication. The paper was completed while the author was a researcher at the DIW (Berlin). Justina Fischer also thanks a Marie Curie experienced researcher fellowship for financing (RTN TOM).
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The European Semester (ES) and the country-specific recommendations (CSRs) have been introduced with the purpose to promote flexibility and adaptation to national circumstances in the governance of fiscal policies. To assess whether the ES has contributed to reconcile economic and social objectives, we measured, through the distance to frontier (DTF) score methodology, the distance of each member country from a benchmark based on EU aims and values defined in the EU treaties. Results show that EU member countries are far from the benchmark and CSRs have not prevented a progressive deterioration of stability and cohesion from an economic, political and social perspective. A content analysis of the CSRs issued from 2011 to 2018 and a comparison with the DTF scores reveal a weak connection between member countries' performance and CSRs. Despite the social content of many CSRs, we actually observe a "commodification" of their goals. CSRs promote a society functional to flexible and competitive markets, and compatible with the requirements of fiscal discipline and sustainability. This neoliberal approach apparently played a role in the EU deterioration and makes the "socialization" of the ES a process with ambiguous implications for European citizens. Supplementary information: The online version contains supplementary material available at 10.1057/s41294-021-00171-2.
Article
Immigration is a controversial topic in most developed economies. The presence of a redistributive welfare state in all major immigrant host countries creates a margin on which immigration affects native welfare. The primary focus of the paper is whether a large intake of immigrants reduces welfare state effort. It is usually argued that steady increases in immigration lead to public pressure for lower levels of publicly-funded social expenditures. In contrastz to the earlier empirical literature on this topic, we find little evidence in favour of this hypothesis. While immigration does have a relatively modest effect on the welfare state, if anything there is some support for the view that a greater influx of immigrants has lead policy-makers to increase welfare state spending.
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This book takes stock of the Nordic model and discusses the policy challenges from an economic point of view. The book is organised in three parts. Part I analyses the recent performance of the Nordic countries from a comparative and mainly macroeconomic perspective and identifies major challenges. Part II contains concise thematic analyses on competitiveness, pensions and longevity, health care, immigration, school dropouts, young pensioners and taxation. Finally, Part III looks more in depth at the key challenges and discusses the need and options for policy reforms.
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The source of evidence on expressive voting has been experiments, in general conducted with students. In Why are Jews Liberals? Norman Podhoretz describes behavior that substantiates the hypothesis that people vote expressively to confirm identity. He does not use the terminology of expressive voting but his study is readily interpretable in an expressive-behavior context. Podhoretz describes liberal Jews in the U.S. as expressively voting contrary to self-interest to confirm allegiance to liberalism, which he terms a “new religion”. Traditional Jews do not require the identity of the new religion and vote in accord with their self-interest. I propose another interpretation of voting by liberal Jews in which expressive utility is not contrary to self-interest.
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This exploratory article examines the paradox of being open-minded while ethnocentric as expressed in Danish international management practices at the micro level. With a population of 5.4 million, Denmark is one of the smallest European countries. The pressure on many small advanced countries to keep up the process of globalization may be substantial, and the economic gains for such countries from adjusting to a more internationally integrated world economy are clear. However, in small-population economies, especially social-democratic welfare states, the internal pressure to integrate counteracts to some extent the need to maintain openness to differences. Thus, a strong economy and a feeling of smug ethnocentrism in Denmark generate a central paradox in thinking about internationalization in Danish society.
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Denmark is a small country that, on the one hand, has a reputation of being open-minded and, on the other hand, recently has been known for expressing xenophobic attitudes in national politics. This paradox may be related to difficulties of maintaining a small-scale welfare society despite the overwhelming forces of globalization. The dual forces of social concern and global outlook could be argued to impose a paradox of globalization and localization on ways of thinking and acting in Denmark. In this chapter we analyse how this specific paradox affects Danish international workers' abilities to manage internationally and learn from their foreign surroundings. We include data from ethnographic studies of Danish international workers in Saudi Arabia and England to illustrate the argument that an open-minded/self-sufficient paradox affects the way many Danes deal with international issues.
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The next Europe of regions will profoundly differ from the one we have observed so far. In fact, the current challenge in most European countries and regions comes from migration which is making the populations of Europe more and more heterogeneous. This puts great pressure on the welfare states and particularly on the provision of local public servic es. This work investigates i) whether national diversity reduces the performance of local public services, and ii) to what extent this problem is moderated by regional autonomy. The empirical analysis is based on 167 European regions: we employ a composite indicator developed by The QOG Institute to measure the citizens’ perception about local public services, and the Regional Authority Index developed by Hooghe et al. ( 2008a) to measure the level of regional autonomy; we calculate a regional diversity index based on nationalities using census data. We find that diversity is negatively correlated with the performance of local public services, and regional autonomy only partially moderates this problem.
Article
Purpose The purpose of this paper is to provide a summary of empirical research on welfare magnetism and to assess the size and scope of the welfare magnet effect on the non-EU migrants in selected immigration countries of the European Union. Design/methodology/approach A conditional logistic regression model with interactions is used to estimate the strength of the welfare magnet effect, while controlling for demographic characteristics of the migrants and country-specific economic indicators. Data, used for estimation, comes from the Immigrant Citizen Survey, which provides a large, representative sample of first-generation (i.e. non-EU born) migrants. Various measures of welfare generosity are tested to assure the robustness of the results. Findings The coefficients suggest that the welfare magnet effect is present and significant in some immigrant groups, although it can have a negative impact on location decisions in other cases. Similar results are obtained for wage and unemployment indicators. Research limitations/implications Results corroborate the welfare magnet hypothesis, which states that more generous welfare states should expect greater clustering of negatively-selected (i.e. lower educated) migrants. One potential limitation comes from the sample size, which does not allow for more general conclusions. Practical implications Heterogeneous effects of basic economic indicators in different demographic groups show that aggregate immigrant flows, used widely in the literature, can provide biased estimates of welfare magnet effect. Originality/value This paper adds to the available literature by using representative, recently collected data and employing a more complete list of controls in a quantitative analysis of migration decisions.
Chapter
The previous chapter was concerned with efficiency. We saw how inefficiency arises when political incentives influence policy decisions. This chapter is concerned with political decisions and income redistribution. We now ask why the franchise (the right to vote) was extended to low-income voters when a low-income majority of voters can vote to transfer to itself the incomes of a high-income minority. We consider the budgetary consequences of extending the franchise to women. We evaluate the outcome of expressive voting on income redistribution when people correctly perceive their vote to be non-decisive. Continuing the theme of redistribution through politics, we ask who in practice benefits from income redistribution through the government budget. We also consider how high-taxation welfare states are sustained. Contents: (1) Extension of the franchise; (2) Proposals to restrict the franchise; (3) Why does the majority not impose appropriative taxes on the minority?; (4) Expressive voting on income distribution; (5) Who benefits from income redistribution?; (6) The welfare state; (7) Immigration; (8) Direct political allocation; (9) Summary; (10) References; (10) Questions for discussion;
Chapter
This chapter examines Denmark’s language legislation, especially laws with provisions that protect the language rights of the Danish-speaking majority and hinder the language rights of immigrants. Growing negative feelings toward immigration in Denmark have become associated with the growing number of Muslim immigrants and their descendants, leading to the passing of a wide array of laws with provisions that have increasingly hampered the language rights of non-Western immigrants in the areas of naturalization and education, including laws that promote Danish mainstream culture and language in the educational system from kindergarten to high school, and disregard the languages and cultures of immigrant children. These laws greatly restrict or outright ban mother tongue education for immigrant children from non-Western countries but offer it to children from EU member states, the EEA area, and the Faroe Islands and Greenland. Other laws make excessive demands in Danish proficiency for non-Western (mostly Muslim) immigrants seeking to obtain residence or naturalization but establish no such language requirements for Western immigrants working at universities.
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How does local economic inequality affect the native-immigrant gap in immigration attitudes? Existing studies do not distinguish between native and immigrant citizens, which is problematic because immigrants represent an increasing share of the population and voting public. Immigrant citizens, as legal residents, receive the same legal and social protections as native citizens. However, as an out-group, they are less likely to be attached to the national and cultural identity of a host country. This paper uses the Australian Election Study to show that immigrant citizens prioritise cultural or psychological considerations in forming immigration attitudes. As local economic inequality rises, immigrant citizens’ support for immigration strengthens regardless of their country of origin, reason for migration and length of stay in Australia.
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  Studies of party politics and party competition in West European democracies all point to diversification. Non-economic issues such as the environment, refugees and immigrants or law and order have become increasingly central to party politics. However, there has been surprisingly little interest in explaining variation across time and countries concerning which issues actually become central to party competition. From the sparse literature, two general answers can be discerned. One is societal, focusing on mass media coverage, public opinion and the development of the policy problems related to the issue. The other focuses on the structure of party competition itself – more precisely on the incentives for different parties in drawing attention to different issues. This study stresses the importance of the latter based on a study of the immigration issue in Denmark and Sweden. Party political attention to this issue in the 1990s has been considerably stronger in Denmark than in Sweden. This can be explained by the different strategic situation of the main stream right-wing parties in the two countries. Focusing on the immigrant issue easily leads to a conflict with the centre-right, especially social liberal parties. In Sweden, such a conflict would undermine mainstream right-wing attempts at winning government power. In Denmark, the Social Liberals governed with the Social Democrats in the 1990s, which made it attractive for the main stream right-wing parties to focus on the issue in order to win government power based on the support of radical right-wing parties.
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We analyse the extent of intergenerational transmission through parental capital, ethnic capital and neighbourhood effects on several aspects of the school-to-work transition of 2 nd generation immigrants and young ethnic Danes. The main findings are that parental capital has strong positive effects on the probability of completing a qualifying education and on the entry into the labour market, but it has a much smaller impact on the duration of the first employment spell and on the wage level. Growing up in neighbourhoods with a high concentration of immigrants is associated with negative labour market prospects both for young natives and 2 nd generation immigrants.
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This paper analyses the educational attainment of young first generation immigrants in Denmark who are children of the ‘guest workers’ who immigrated from Turkey, Pakistan and Ex-Yugoslavia in the late 1960s and early 1970s. Beside the traditional intergenerational transmission mechanism, we analyse potential immigrant-specific factors as language proficiency, attending mother-tongue courses and expectations concerning out or return migration from Denmark. The results show that generational transmission effects are strong among ‘guest worker’ immigrants, especially among men. Other important factors are Danish language proficiency, age at first marriage and a number variables reflecting parents’ and own attitudes concerning education, marriage and family. However, the ‘guest worker’ immigrants are not a homogenous group. The analyses reveal large differences between Turkish, Pakistani and Ex-Jugoslavian ‘guest workers’ with respect to their educational success and the factors behind.
Article
This paper explores the theoretical issues and the empirical literature regarding the selectivity of migrants. Although the primary focus is on international migration, reference is made to internal migration and return migration. The theoretical analysis indicates a tendency toward the favorable self-selection (supply) of migrants for labor market success. The favorable selectivity is more intense the greater the out-of-pocket (direct) costs of migration and return migration, the greater the effect of the higher level of ability on lowering the costs of migration, and the smaller the relative skill differentials in the lower-wage origin relative to the higher-wage destination. Favorable selectivity for labor market success can be expected to be less intense for non-economic migrants, such as refugees, tied movers and ideological migrants, and for sojourners (short-term migrants) and illegal aliens. Among countries for whom entry restrictions are binding, the criteria for rationing immigration visas (demand) will influence the favorable selectivity of those who actually immigrate. Selection criteria can ration visas on one or more characteristics that enhance labor market earnings (e.g., education), or on characteristics that are seemingly independent of skill level (e.g., kinship ties). Under either criteria there will be a tendency for immigrants to be favorably selected, although this is less intense under the later criteria. The overall favorable selectivity of immigrants, therefore, depends on the favorable selectivity of the supply of immigrants and the criteria used to ration admissions.
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This paper sets out a political economy model where median voters who benefit from local income redistribution are affected by the fiscal burden of welfare payments to immigrants. The median voters also have cultural preferences. Immigrants are influenced in their relocation decision by welfare benefits in host countries. Uncoordinated, coordinated and leader–follower domestic welfare policies are compared. In the last case, the median voter in the follower country is better off than the median voter in the leader country because of a less generous welfare system and hence fewer immigrants.
Article
Análisis del carácter, rol y variaciones a lo largo de la historia del Estado de Bienestar en tres países desarrollados de Occidente: Alemania, Estados Unidos y Suecia. El autor sostiene que los procesos económicos de fines del siglo XX, como son aquéllos conducentes a un nuevo orden post-industrial, no son formados por las fuerzas autónomas del mercado, sino por la naturaleza de los estados y las diferencias entre los mismos.
Article
"This paper investigates if the location choices made by immigrants when they arrive in the United States are influenced by the interstate dispersion in welfare benefits. Income-maximizing behavior implies that foreign-born welfare recipients unlike their native-born counterparts, may be clustered in the states that offer the highest benefits. The empirical analysis indicates that immigrant welfare recipients are indeed more heavily clustered in high-benefit states than the immigrants who do not receive welfare, or than natives. As a result, the welfare participation rate of immigrants is much more sensitive to changes in welfare benefits than that of natives."
Article
"According to traditional trade theory (Heckscher-Ohlin), free trade and free migration are equivalent measures of economic integration leading both to an equalization of factor prices. This prediction is in sharp opposition to the observed preference of rich countries for free trade over free migration. We provide an explanation for this inconsistency: the redistribution policies in the countries. Social welfare in countries with a relatively small number of low-skilled native workers is higher with free trade than with free migration due to redistribution of income towards immigrating workers."
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Indvandrerbefolkningens sammensaetning og udvikling i Danmark " [The composition and development of the immigrant population in Denmark], chapter
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Hvorfor er så mange indvandrere uden beskaeftigelse? " [Why are so many immigrants without employment?], chapter
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Indvandrernes tilknytning til arbejdsmarkedet 1985-2001 " [The absorption of immigrants into the labour market
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Dansk Arbejdsgiverforening 4 ud af 10 unge indvandrere uden uddannelse " [Four out of ten young immigrants without any qualifying education
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Indvandrerbefolkningens sammensætning og udvikling i Danmark
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Indvandrernes tilknytning til arbejdsmarkedet 1985–2001
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It's not the economy, stupid!: Municipal school expenditures and school achievement levels in Denmark
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Hvorfor er så mange indvandrere uden beskæftigelse?
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