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Immigrant–Native Differences in Welfare Participation: The Role of Entry and Exit Rates
Author(s) -
HANSEN JORGEN,
LOFSTROM MAGNUS
Publication year - 2011
Publication title -
industrial relations: a journal of economy and society
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.61
H-Index - 57
eISSN - 1468-232X
pISSN - 0019-8676
DOI - 10.1111/j.1468-232x.2011.00644.x
Subject(s) - welfare , immigration , demographic economics , panel data , empirical evidence , economics , political science , econometrics , philosophy , epistemology , law , market economy
We analyze differences in welfare transitions between natives and immigrants in Sweden using a large representative panel data set. The data contain administrative information on welfare use and detailed demographic information. The empirical results suggest that the main reason for the large immigrant–native welfare gap observed is the differences in welfare entry rates. Thus, policies aimed to reduce these transitions may be particularly successful in reducing welfare use in general and particularly the immigrant–native welfare gap.