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Department of Economics, Aarhus School of Business, University of Aarhus Working Papers, Department of Economics, Aarhus School of Business, University of Aarhus

No 04-20:
Employment Effects of Dispersal Policies on Refugee Immigrants: Empirical Evidence

Anna Piil Damm () and Michael Rosholm ()

Abstract: Do dispersal policies on refugee immigrants promote their labour

market outcomes? To investigate this we estimate the effects of location

characteristics and the average effect of geographical mobility

on the hazard rate into first job of refugee immigrants subjected to

the Danish Dispersal Policy 1986-1998. We correct for selection into

relocation to another municipality by joint estimation of the duration

of the first non-employment spell and time until relocation.

We find, first, that the hazard rate into first job is decreasing in the

local population size and the local share of immigrants. These findings

support dispersal policies. Second, on average geographical mobility

had large, positive effects on the hazard rate into first job, suggesting

that restrictions on placed refugees’ subsequent out-migration would

hamper labour market integration of ref

Keywords: Dispersal Policies on Refugees; Employment Effects; Migration; (follow links to similar papers)

JEL-Codes: J15; J61; J64; (follow links to similar papers)

69 pages, September 2, 2005

Published as “Employment Effects of Spatial Dispersal of Refugees”, with M. Rosholm. Review of Economics of the Household, 2010, 8(1): 105-146

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