Welfare Reform and Migrant's Long-Term Labor Market Integration

Arbeitspapier

We study the effect of reducing welfare assistance on migrants# long-term integration in Australia. The policy postponed a migrant's eligibility for benefits during their first two years in the country. It mainly affected mothers and was announced after their arrival. Using a regression discontinuity design and 21 years of administrative welfare data, we find significant reductions in welfare receipt, where the gap widened over time, and stabilized in the long run. Benefit receipt amounts reduced by 28%, and time-on-benefits by 19%, particularly in the unemployment and disability categories. We observe larger treatment effects for mothers from disadvantaged backgrounds.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 16285

Classification and Topics

• Classification: Wirtschaft ; Incomes Policy; Price Policy ; Welfare, Well-Being, and Poverty: General ; Mobility, Unemployment, Vacancies, and Immigrant Workers: General
• Subject: welfare reform ; labor market outcomes ; migration ; job quality

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Kunz, Johannes S. ; Zhu, Anna
• Event: Veröffentlichung
• (who): Institute of Labor Economics (IZA)
• (where): Bonn
• (when): 2023

Further information

• Handle: http://hdl.handle.net/10419/278983
• Last update: 10.03.2025, 11:41 AM CET