The Economic Effects of Refugee Return and Policy Implications

The recent surge in the number of forcibly displaced who cross international borders in search of protection has prompted interest in evaluating policies that achieve the possible "end points" of the phenomenon. As envisaged by United Nat...

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Main Author: Dadush, Uri
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2018
Subjects:
Online Access:http://documents.worldbank.org/curated/en/790661530120783999/The-economic-effects-of-refugee-return-and-policy-implications
http://hdl.handle.net/10986/29950
id okr-10986-29950
recordtype oai_dc
spelling okr-10986-299502021-06-08T14:42:46Z The Economic Effects of Refugee Return and Policy Implications Dadush, Uri FORCED DISPLACEMENT REFUGEES IDPs RETURNEES HOST COMMUNITIES INTERNATIONAL MIGRATION IDMC UNHCR RELOCATION LABOR MARKET INTEGRATION The recent surge in the number of forcibly displaced who cross international borders in search of protection has prompted interest in evaluating policies that achieve the possible "end points" of the phenomenon. As envisaged by United Nations High Commissioner for Refugees (UNHCR), these are the integration in the country of destination, relocation in a third country, and return to the country of origin. The focus of this paper is on the third aspect, namely the appropriate conduct of return policy viewed from the perspective of the host country. More specifically, the main question is whether it is in the economic self-interest of host countries to return forcibly displaced persons. In addressing the question, four ancillary issues are to be addressed: (i) the macroeconomic impact of refugees and of their return; (ii) the labor market impact of refugees and of their return, (iii) the fiscal impact of refugees and of their return; and (iv) how return policy should be formulated and executed. The available evidence and analyses allow this paper's main conclusion, namely that the costs of hosting asylum seekers and refugees are front-loaded, while the benefits accruing from their integration into the labor market and the host economy typically take years to materialize. It follows that from the economic perspective their return after a short stay may represent a costlier option than continuing to invest in their successful integration. Countries with a flexible labor market, strong investment climate, and a welcoming attitude to immigrants tend to see the economic benefits of refugee inflows materialize faster. 2018-06-28T15:54:33Z 2018-06-28T15:54:33Z 2018-06 Working Paper http://documents.worldbank.org/curated/en/790661530120783999/The-economic-effects-of-refugee-return-and-policy-implications http://hdl.handle.net/10986/29950 English Policy Research Working Paper;No. 8497 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic FORCED DISPLACEMENT
REFUGEES
IDPs
RETURNEES
HOST COMMUNITIES
INTERNATIONAL MIGRATION
IDMC
UNHCR
RELOCATION
LABOR MARKET
INTEGRATION
spellingShingle FORCED DISPLACEMENT
REFUGEES
IDPs
RETURNEES
HOST COMMUNITIES
INTERNATIONAL MIGRATION
IDMC
UNHCR
RELOCATION
LABOR MARKET
INTEGRATION
Dadush, Uri
The Economic Effects of Refugee Return and Policy Implications
relation Policy Research Working Paper;No. 8497
description The recent surge in the number of forcibly displaced who cross international borders in search of protection has prompted interest in evaluating policies that achieve the possible "end points" of the phenomenon. As envisaged by United Nations High Commissioner for Refugees (UNHCR), these are the integration in the country of destination, relocation in a third country, and return to the country of origin. The focus of this paper is on the third aspect, namely the appropriate conduct of return policy viewed from the perspective of the host country. More specifically, the main question is whether it is in the economic self-interest of host countries to return forcibly displaced persons. In addressing the question, four ancillary issues are to be addressed: (i) the macroeconomic impact of refugees and of their return; (ii) the labor market impact of refugees and of their return, (iii) the fiscal impact of refugees and of their return; and (iv) how return policy should be formulated and executed. The available evidence and analyses allow this paper's main conclusion, namely that the costs of hosting asylum seekers and refugees are front-loaded, while the benefits accruing from their integration into the labor market and the host economy typically take years to materialize. It follows that from the economic perspective their return after a short stay may represent a costlier option than continuing to invest in their successful integration. Countries with a flexible labor market, strong investment climate, and a welcoming attitude to immigrants tend to see the economic benefits of refugee inflows materialize faster.
format Working Paper
author Dadush, Uri
author_facet Dadush, Uri
author_sort Dadush, Uri
title The Economic Effects of Refugee Return and Policy Implications
title_short The Economic Effects of Refugee Return and Policy Implications
title_full The Economic Effects of Refugee Return and Policy Implications
title_fullStr The Economic Effects of Refugee Return and Policy Implications
title_full_unstemmed The Economic Effects of Refugee Return and Policy Implications
title_sort economic effects of refugee return and policy implications
publisher World Bank, Washington, DC
publishDate 2018
url http://documents.worldbank.org/curated/en/790661530120783999/The-economic-effects-of-refugee-return-and-policy-implications
http://hdl.handle.net/10986/29950
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