Institutions, culture and migrants’ preference for state-provided welfare. Longitudinal evidence from Germany

Abstract:

Using the difference-in-differences estimator and data provided by the German Socio-Economic Panel, this article explores migrants’ preferences for state-provided welfare.

The study finds evidence that over time, the preferences of immigrants and natives become more similar. We interpret this finding as evidence that the culture of home countries does not have a time-invariant effect, and that immigrants’ welfare preferences are subject to a socializing effect of the host countries’ welfare regime.