The long-term impact of employment bans on the economic integration of refugees

Verfasser / Beitragende:
[Moritz Marbach, Jens Hainmueller, Dominik Hangartner]
Ort, Verlag, Jahr:
2018
Enthalten in:
Science Advances, 4 (9), p. eaap9519
Format:
Artikel (online)
ID: 528787403
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024 7 0 |a 10.3929/ethz-b-000290654  |2 doi 
024 7 0 |a 10.1126/sciadv.aap9519  |2 doi 
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100 1 |a Marbach  |D Moritz 
245 1 4 |a The long-term impact of employment bans on the economic integration of refugees  |h [Elektronische Daten]  |c [Moritz Marbach, Jens Hainmueller, Dominik Hangartner] 
246 0 |a Sci Adv 
506 |a Open access  |2 ethresearch 
520 3 |a Many European countries impose employment bans that prevent asylum seekers from entering the local labor market for a certain waiting period upon arrival. We provide evidence on the long-term effects of these employment bans on the subsequent economic integration of refugees. We leverage a natural experiment in Germany, where a court ruling prompted a reduction in the length of the employment ban. We find that, 5 years after the waiting period was reduced, employment rates were about 20 percentage points lower for refugees who, upon arrival, had to wait for an additional 7 months before they were allowed to enter the labor market. It took up to 10 years for this employment gap to disappear. Our findings suggest that longer employment bans considerably slowed down the economic integration of refugees and reduced their motivation to integrate early on after arrival. A marginal social cost analysis for the study sample suggests that this employment ban cost German taxpayers about 40 million euros per year, on average, in terms of welfare expenditures and foregone tax revenues from unemployed refugees. 
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700 1 |a Hainmueller  |D Jens  |e joint author 
700 1 |a Hangartner  |D Dominik  |e joint author 
773 0 |t Science Advances  |d Washington D.C. : American Association for the Advancement of Science (AAAS)  |g 4 (9), p. eaap9519  |x 2375-2548 
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