Arbeitspapier

Immigrant Responses to Social Insurance Generosity

Immigrants from low‐income source countries tend to be underrepresented in employment and overrepresented in social insurance programs. Based on administrative data from Norway, we examine how these gaps reflect systematic differences in the impacts of social insurance benefits on work incentives. Drawing on a benefit formula reform of the temporary disability insurance program, we identify behavioral employment and earnings responses to changes in benefits, and find that responses are significantly larger for immigrants. Among female immigrant program participants, earnings of the male spouse also drop in response to more generous benefits. We uncover stronger behavioral responses among natives with characteristics similar to those of immigrants.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 11482

Classification
Wirtschaft
National Government Expenditures and Welfare Programs
Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
Time Allocation and Labor Supply
Subject
immigrants
labor supply
social insurance

Event
Geistige Schöpfung
(who)
Bratsberg, Bernt
Raaum, Oddbjørn
Røed, Knut
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2018

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Bratsberg, Bernt
  • Raaum, Oddbjørn
  • Røed, Knut
  • Institute of Labor Economics (IZA)

Time of origin

  • 2018

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