search query: @indexterm FISCAL POLICY / total: 505
reference: 73 / 505
Author: | Storesletten, K. |
Title: | Fiscal implications of immigration A net present value calculation |
Journal: | Scandinavian Journal of Economics
2003 : VOL. 105:3, p. 487-506 |
Index terms: | Finance Fiscal policy Taxation Immigration Models |
Language: | eng |
Abstract: | Focusing on the net fiscal effects, the gain from admitting immigrants is computed for welfare state with large expenditures and a large tax burden (Sweden). Prices and behaviour are held constant, allowing a detailed analysis of the immigration effects. The present value of future tax revenues minus outlays is potentially large, that is USD 23.500 per young working-age immigrant, but an average new immigrant represents a net government loss of USD 20.500. The dominant factors are employment rates and age. For young working-age immigrants, the "break-even" participation rate for which the gain would be zero is 60 percent. |
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