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Asylum seekers are not a burden for Western European Countries

Published on July 3, 2018 Updated on July 3, 2018

Does the arrival of asylum seekers lead to a deterioration in the economic performance and public finances of the Western European countries ?

The answer is no, according to economists from the CNRS, Clermont-Auvergne University, and Paris-Nanterre University, who have published a new report in the June 20 issue of Science Advances. H.d’Albis, E.Boubtane and D. Coulibaly have estimated a dynamic statistical model on 30 years of data from 15 European countries.

They show that inflows of asylum seekers do not deteriorate host countries’ economic performance or fiscal balance because the increase in public spending induced by asylum seekers is more than compensated for by an increase in tax revenues net of transfers. As asylum seekers become permanent residents, their macroeconomic impacts become positive.