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Immigration, welfare generosity and electoral preferences: an empirical study of Yugoslavian immigrants in Norway

Jarlsby, Hedda Struve
Master thesis
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Preliminary Master Thesis - Attatch.pdf (1.236Mb)
URI
http://hdl.handle.net/11250/2486354
Date
2017
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  • Master of Science [1116]
Abstract
Does immigration reduce natives’ support for the welfare state? Immigration is

a growing source of ethnic heterogeneity, which is said to change individual

attitudes towards redistributive public spending. This paper exploits municipallevel

variations in Yugoslavian immigrants to estimate the causal effects on

welfare generosity and electoral preferences in Norway (1990-2003). The

analysis is performed by using fixed effect regression models on a balanced

panel data of 394 municipalities. The results indicate that a higher share of

Yugoslavians in Norway is associated with higher welfare generosity and lower

vote share for left-wing parties. In contrast to previous studies, there is little

indication of a cost constraint from higher welfare use or a negative shift in

native’s preference for redistribution from a higher share of Yugoslavians. The

observed positive effect on welfare generosity does not seem to be driven by the

political arena as support for left-wing parties and more redistribution is

estimated to reduce, but rather from higher welfare spending in municipalities

where welfare needs are high. Ultimately, the study give insight on how

relatively high-skilled immigrants affect welfare support through redistributive

spending and voting attitudes.
Description
Masteroppgave(MSc) in Master of Science in Business, Economics - Handelshøyskolen BI, 2017
Publisher
BI Norwegian Business School

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