The economic consequences of the migration crisis for Germany

It is becoming increasingly common for analyses of the economic consequences of the great wave of refugees coming to Germany to be referred to in the debate concerning this issue. German politicians are concerned about the estimated costs of migrants’ living expenses and their integration into the labour market. Andrea Nahles, the Federal Minister of Labour and Social Affairs (SPD), has announced that the unemployment level is likely to grow significantly next year. According to forecasts, between 240,000 and 460,000 migrants will enter the German labour market in 2016. Even though there are still 600,000 jobs available remaining, many migrants may have insufficient qualifications to find employment, and will have to rely on unemployment benefits.