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The fiscal aspect of the refugee crisis

Journal article
Authors Joakim Ruist
Published in International Tax and Public Finance
Pages 15
ISSN 0927-5940
Publication year 2019
Published at Department of Economics
Pages 15
Language en
Keywords Refugees, Immigration, Public finances, immigration, impact, Business & Economics
Subject categories Economics and Business


An important part of the resistance to higher refugee immigration in rich countries is due to the fear of the negative fiscal consequences. Yet this article shows that the fiscal consequences even of substantially increased refugee immigration are likely to be quite modest. According to the estimates, if the European Union received all refugees currently in Asia and Africa, the implied average annual fiscal cost over the lifetime of these refugees would be at most 0.6% of the union's GDP. If other rich countries also shared the burden, the cost per country would be even lower.

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