How Asylum-Seekers Shake Up Economies (Mostly in Good Ways)
Oct 6, 2023
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The podcast explores the economic impact of asylum seekers and irregular migrants, discussing their contributions to GDP, employment opportunities, and overall economic growth. It also delves into the debate on pull factors in migration, questioning the role of welfare provisions. Additionally, it examines the impact of investment and migration on Germany's economy, emphasizing the need for responsible government investment in managing the asylum system.
39:42
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Quick takeaways
Investing in domestic infrastructure is crucial to absorb new migrants and reduce tensions between migrants and locals.
Greater domestic investment is needed to support a high-functioning legal system that can handle asylum cases promptly and maintain legitimacy.
Deep dives
The Importance of Domestic Investment for Resettlement
To create a smoother migration process and reduce domestic resistance, host countries should invest more in domestic infrastructure, such as housing, social services, and healthcare. Insufficient investment leads to scarcity constraints and trade-offs, causing tensions between migrants and locals. By adequately funding and providing necessary facilities to absorb new migrants, countries can ensure a more orderly and humane process. This requires a growth-oriented approach to accommodate the increasing population. With tight labor markets in many countries, it is crucial to address social provision and housing shortages to avoid exacerbating conflicts.
The Need for Adequate Legal System Investment
The broken asylum and refugee legal systems in many Western countries result from a lack of sufficient funding and resources. Inefficient processing of asylum applications and large backlogs contribute to the crisis. Greater domestic investment is needed to support a high-functioning legal system that can handle asylum cases promptly and fairly. This includes properly resourcing bureaucratic organizations responsible for asylum processing and refugee resettlement. By adequately funding and investing in the legal system, countries can improve the efficiency of decision-making, reduce backlogs, and maintain the legitimacy of the process.
Rethinking the Concept of Pull Factors
The popular belief that generous welfare services and social benefits act as significant pull factors for migration is not supported by substantial evidence. Instead, people migrate to successful, prosperous, and safe places that have established communities of migrants. It is the attractiveness of the host countries themselves, rather than the welfare provisions, that drives migration. Attempts to make countries less attractive by reducing benefits are counterproductive and fundamentally flawed. The focus should instead be on creating an environment that offers sufficient resources, infrastructure, and services to smoothly integrate migrants, reducing tensions and fostering social cohesion.
Shifting to a Comprehensive Approach for Migration Management
To manage migration more effectively, host countries should adopt a comprehensive approach that combines asylum systems, refugee resettlement programs, and pathways for regularized economic migration. This approach requires adequate funding and resources to provide predictable, large-scale, and well-funded channels for migration. By ensuring orderly and efficient processes for asylum seekers, refugees, and economic migrants, countries can create a more coherent and humane system. This includes removing scarcity constraints, investing in infrastructure, and addressing social and economic needs to foster a smoother political environment and facilitate successful integration.
Adam and Cameron devote the entire episode to looking at all aspects of migration as the number of asylum-seekers in Europe is on pace to hit a record 1 million this year. Adam discusses how economically speaking migration is a net-plus for most countries and how it’s vital to invest in housing and other infrastructure in order to absorb new populations.
Hey, Ones and Tooze listeners in Berlin! After the success of the last live show, Adam and Cameron are going to be doing another live taping on Oct. 27 at 7 p.m. at the Hertie School (Friedrichstraße 180, 10117 Berlin, Germany).
Tickets are on sale now. Purchase them here: https://www.podfestberlin.com/event-details/ones-and-tooze-live-in-berlin