Economics, Econometrics and Finance
4 years ago

Emigration shifts power, alters welfare state policies, impacts income inequality.

SSRN Electronic Journal
Migration and the Welfare State: The Economic Power of the Non-Voter?
Kira Fuchs, Silke Uebelmesser

Paper Summary

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This paper looks at how people moving to other countries can affect the decisions made about welfare programs. When people leave, it changes who is left to vote on these decisions. This can lead to less money coming in from taxes, which affects how much help the government can give to those in need. The impact of migration on welfare policies depends on how rich or poor people are to begin with. This study shows that the total effect of migration on welfare programs varies based on the income distribution in a country.