Ethnic enclaves and welfare cultures - quasi-experimental evidence presented at CESifo Area Conference on Employment and Social Protection, May 2003

We examine peer effects in welfare use among immigrants to Sweden by exploiting a governmental refugee placement policy. We distinguish between the quantity of contactsthe number of individuals of the same ethnicityand the quality of contacts welfare use among members of the ethnic group. OLS regres...

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Bibliographische Detailangaben
1. Verfasser: Åslund, Olof (VerfasserIn)
Weitere Verfasser: Fredriksson, Peter (VerfasserIn)
Format: UnknownFormat
Sprache:eng
Veröffentlicht: Munich CES 2005
Munich Ifo
Schriftenreihe:CESifo working papers No. 1430 : Category 4, Labour markets
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Zusammenfassung:We examine peer effects in welfare use among immigrants to Sweden by exploiting a governmental refugee placement policy. We distinguish between the quantity of contactsthe number of individuals of the same ethnicityand the quality of contacts welfare use among members of the ethnic group. OLS regressions suggest that both these factors are positively related to individual welfare use. Instrumental variables estimations yield the conclusion that only the quality of contacts matter. An increase of the fraction of the ethnic group on welfare by 10 percent raises the individual probability of welfare use by almost 7 percent.
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