Immigration and the Public Sector in Denmark

As Denmark, like the other countries of Western Europe, evolves into more of an immigrant nation, it becomes critical to examine the consequences of such fundamental changes to its population. This volume deals with the economic effects of immigration on the Danish public sector. The authors concentrate on the developments of the 1990s, carefully constructing their analysis on a strong statistical foundation. If the net contribution of non-Western immigrants is to equal their net cost to the state, the authors calculate that their employment rate would have to more than double. While most of the analysis distinguishes among immigrant subgroups, the book also uncovers some useful data by subdividing the public sector. Most significant is the conclusion that local municipalities shoulder a disproportionately large share of the immigrant cost, due to immigrantsAe greater need for childcare and schooling, as well as for social and housing allowances. The authors note that the size of these transfers can affect the willingness of municipalities to receive immigrants. This volume should be useful to policy-makers, as well as to scholars with an interest in immigration and the economics of the welfare state.