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Migration State and Welfare State: Competition vs. Coordination in Economic Unions

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  • Assaf Razin

    (tel aviv university)

Abstract

Within a standard general equilibrium political economy model the paper analyzes how redistribution policies and migration policies are determined with an economic union. The competition among member states leads to over generosity of the welfare state and unskilled biased migration, relative to the same economic union under coordination. Application to EU and the US is suggested.

Suggested Citation

  • Assaf Razin, 2016. "Migration State and Welfare State: Competition vs. Coordination in Economic Unions," 2016 Meeting Papers 116, Society for Economic Dynamics.
    • Handle: RePEc:red:sed016:116
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    References listed on IDEAS

    as
    1. Tito Boeri, 2010. "Immigration to the Land of Redistribution," Economica, London School of Economics and Political Science, vol. 77(308), pages 651-687, October.
    2. Kjetil Storesletten, 2000. "Sustaining Fiscal Policy through Immigration," Journal of Political Economy, University of Chicago Press, vol. 108(2), pages 300-323, April.
    3. Rebecca M. Blank, 1997. "Policy Watch: The 1996 Welfare Reform," Journal of Economic Perspectives, American Economic Association, vol. 11(1), pages 169-177, Winter.
    4. Thomas J. Sargent, 2012. "Nobel Lecture: United States Then, Europe Now," Journal of Political Economy, University of Chicago Press, vol. 120(1), pages 1-40.
    5. 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.
    6. Charles M. Tiebout, 1956. "A Pure Theory of Local Expenditures," Journal of Political Economy, University of Chicago Press, vol. 64(5), pages 416-416.
    7. Tito Boeri, 2008. "Brain Gain: A European Approach, Introduction by Tito Boeri," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 9(03), pages 30-34, October.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • F2 - International Economics - - International Factor Movements and International Business
    • H1 - Public Economics - - Structure and Scope of Government

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