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Migration and Fiscal Externality: US vs. Europe

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  • Assaf Razin

Abstract

The paper compares migration policy and welfare state generosity between America and Europe. There is more selective skill-based migration policy in the US compared to the European Union. Policy coordination among states within the federal system on migration, taxes, and social benefits among states within the US federal system is stronger than among countries within the European Union. Fiscal externality, triggered by migration and tax competition among members of the federal system may explain in part these US-Europe differences in policies.

Suggested Citation

  • Assaf Razin, 2020. "Migration and Fiscal Externality: US vs. Europe," NBER Working Papers 28126, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:28126
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    1. Boeri, Tito & Hanson, Gordon H. & McCormick, Barry (ed.), 2002. "Immigration Policy and the Welfare System: A Report for the Fondazione Rodolfo Debenedetti," OUP Catalogue, Oxford University Press, number 9780199256310.
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    7. Razin, Assaf & Sadka, Efraim, 2014. "Migration and Welfare State: Why is America Different from Europe?," CEPR Discussion Papers 10127, C.E.P.R. Discussion Papers.
    8. Assaf Razin & Jackline Wahba, 2015. "Welfare Magnet Hypothesis, Fiscal Burden, and Immigration Skill Selectivity," Scandinavian Journal of Economics, Wiley Blackwell, vol. 117(2), pages 369-402, April.
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    13. Assaf Razin & Jackline Wahba, 2015. "Welfare Magnet Hypothesis, Fiscal Burden, and Immigration Skill Selectivity," Scandinavian Journal of Economics, Wiley Blackwell, vol. 117(2), pages 369-402, April.
    14. Assaf Razin & Efraim Sadka, 2014. "Migration States and Welfare States: Why Is America Different from Europe?," Palgrave Macmillan Books, Palgrave Macmillan, number 978-1-137-44380-9, October.
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    JEL classification:

    • F0 - International Economics - - General
    • H0 - Public Economics - - General

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