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Modeling the welfare participation of United States immigrants

Posted on:2000-11-08Degree:Ph.DType:Dissertation
University:University of Colorado at BoulderCandidate:Klopfenstein, Kristin MaryFull Text:PDF
GTID:1466390014463453Subject:Economics
Abstract/Summary:
This dissertation analyzes immigrant assimilation in terms of welfare participation and examines how the existence of social programs in a source country influences immigrant welfare participation rates in the United States.; Utilizing the double cohort method, which embeds birth cohorts in entry cohorts and follows each over time, this study identifies assimilation effects net of aging effects using 1980 and 1990 Census microdata. Using predicted rather than actual wages alleviates the potential endogeneity between wages and welfare participation. A system of simultaneous equations is specified to account for the potential endogeneity between social security and welfare participation.; Five countries are studied as significant sources of immigrants: Mexico, the Philippines, Germany, India and Korea. Three major sources of refugees are also considered: Cuba, Poland and the former Soviet Union. Probit estimates indicate that young immigrants, regardless of when they first entered the United States, generally use welfare less than comparable natives and assimilate towards welfare use after ten additional years of residence. Elderly immigrants, regardless of when they first entered, tend to use welfare more than comparable natives and also assimilate towards welfare use after ten additional years of residence. Results for refugees are less consistent, probably due to greater heterogeneity across cohorts of refugees.; Source country characteristics, particularly the availability of social programs, prove to be important determinants of immigrant welfare participation rates. National income, the degree of income inequality, distance and the percentage of immigrants who are refugees are significant and of the expected sign. In addition, the presence of a universally available old-age pension program or of a universal or employment related family allowance in the source country has a significant negative impact on welfare use in the United States, while the presence of universal or employment based medical benefits in the source country has a significant positive impact on welfare use in the United States.
Keywords/Search Tags:Welfare, United states, Source country, Immigrant
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