Based on the current European discussion about immigration policy, this paper gives an overview of central economic consequences of immigration for a host country=s labor market. The most important theoretical arguments are presented and evaluated against the available empirical evidence. The...

In this paper, I estimate the fiscal impact of immigrants on the German pension insurance (PI) and unemployment insurance (UI) systems when return migration is an endogenous choice. For this purpose, I develop a dynamic stochastic model of joint return migration and saving decisions that...

Among all European countries, Germany absorbs by far the largest number of immigrants. But to date, the German government has yet to adopt a system that will effectively control the influx of foreigners. The immigration of Ethnic Germans from Eastern Europe, which is due to historical events and...

We draw on two decades of historical data to analyze how regional labor markets in West Germany adjusted to one of the largest forced population movements in history, the mass inflow of eight million German expellees after World War II. The expellee inflow was distributed very asymmetrically...

We present empirical evidence suggesting that technological progress in the digital age will be biased not only with respect to skills acquired through education but also with respect to noncognitive skills (personality). We measure the direction of technological change by estimated future...

This paper employs a wage-setting approach to analyze the labor market effects of immigration into Germany. The wage-setting framework relies on the assumption that wages tend to decline with the unemployment rate, albeit imperfectly. This enables us to consider labor market rigidities, which...

In this paper we study the economic effects of risk attitudes, time preferences, trust and reciprocity while we compare natives and second generation migrants. We analyze an inflow sample into unemployment in Germany, and find differences between the two groups mainly in terms of risk attitudes...

This paper provides an evaluation of the status of migrant workers in Germany amidst the global financial crisis. Findings of the study are drawn from the latest available data on the labour market performance of native-German and non-German migrant workers as well as other socioeconomic...

Using data from the German Socio-Economic Panel, we examined the impact of social contacts on immigrant occupational status and income. In addition to general social contacts, we also analyzed the effects of bonding (i.e., co-ethnic) and bridging (i.e., interethnic) ties on economic outcomes....

The major event of the 9/11 terror attacks is likely to have induced an increase in anti-immigrant and anti-foreigner sentiments, not only among US residents but also beyond US borders. Using longitudinal data from the German Socio-Economic Panel and exploiting exogenous variation in interview...