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International empirical evidence suggests that immigrants have a significantly higher risk than their native counterparts of being on welfare due to their observed characteristics. Nevertheless, it remains unclear if immigrants are also more prone to take-up benefits, conditional on being eligible. The authors explicitly focus on this potential explanation for higher welfare take-up rates. Therefore, the purpose of this paper is to analyze the take-up of social assistance in Germany by immigrants and natives, conditional on being eligible, and hence focus on take-up behavior rather than on determinants of eligibility.

To simulate welfare entitlements, the authors employ a Tax-Transfer Microsimulation Model. It is a static microsimulation model that consists of a detailed implementation of the German tax and transfer system as well as an econometrically estimated labor supply model. After the simulation of welfare entitlements, the authors analyze take-up behavior within a discrete choice framework. The authors estimate probit models of observed welfare benefit take-up for the sample of eligible households taking into account unobserved heterogeneity.

The estimation results do not reveal a significant effect of being a migrant on the probability of taking-up entitlements. The authors found a significant negative effect for citizens from European countries on the take-up probability, which disappeared after controlling for unobserved heterogeneity.

The authors find that it is worthwhile to focus on different groups of immigrants. Although not statistically significant, the rates of non-take-up of welfare benefits differ between different immigrant groups. The analysis further shows that controlling for unobserved heterogeneity is important when analyzing welfare differences between immigrants and natives.

The higher welfare rates of immigrants are explained mainly by their higher risk of welfare dependence. Thus, given that reducing the welfare dependence of immigrants is a political goal, social policy measures to improve welfare recipients’ labor market prospects are contested. However, restricting eligibility rules to reduce entitlements does not seem to be the appropriate measure, because the take-up probability does not differ between immigrants and natives after controlling for individual characteristics.

The authors build on Castronova et al. (2001) and analyze the take-up behavior of individuals who are entitled to basic means-tested welfare benefits for employable persons in Germany. The analysis differs from Castronova et al. (2001) in four points. First, the authors provide first evidence of immigrant-native differences in welfare benefit take-up under the new welfare system in Germany after its reorganization in 2005. Second, the authors apply a microsimulation model of the comlete tax and transfer system in Germany to determine welfare eligibility. Third, the authors extend the analysis to a panel framework and take into account individual unobserved heterogeneity. Fourth, the authors distinguish between different groups of immigrants.

Revitalising the debate about how to operationalise and measure the extent of welfare states – the so-called dependent variable problem – recent research claims a close theoretical interaction between three different indicators: aggregated data on social expenditure, social rights and social benefit receipt. It is suggested that they all serve as an approximation of welfare state generosity as a dependent variable and help understand variation between as well as change of welfare states. The purpose of this paper is to investigate how these three indicators statistically relate to each other, using data on unemployment cash benefits.

To this end, a time series cross-sectional analysis is carried out, covering 16 European countries for the period 2003–2011.

Results confirm theoretical reflections on the link between the different indicators, whereby higher levels of social expenditure are positively associated with more generous social rights as well as higher levels of benefit receipt. Additionally, the study points to an ambivalent relation between benefit access and benefit levels within indicators as well as across them. This suggests competing policy choices in European welfare states, whereby more generous benefit access implies lower benefit levels and vice versa.

The study contributes to the existing dependent variable literature in a twofold way. First, the conceptual link between the three different indicators and the assumptions they are associated with are critically reviewed. Second, by providing a statistical analysis of the relation between the different indicators across 16 countries, the study goes beyond theoretical elaborations about their association as well as existing small-N or medium-N case time trend studies.

The administration of social assistance benefits is devolved to local agencies in Belgium, which raises questions about how much variation in spell lengths of benefit receipt is associated with differences across agencies. We address this issue by analysing the monthly hazard of benefit exit using administrative record data for 14,270 individuals in 574 welfare agencies. Our random-effects model allows for differences in both the observed and unobserved characteristics of beneficiaries and of local agencies. There are large differences in median benefit duration for individuals serviced by different welfare agencies: the range is from two months to more than 24 months. We find strong associations between beneficiary characteristics (sex, age, foreign nationality, citizenship acquisition, work history and being a student) and spell length. The estimates show higher odds of exiting social assistance receipt in bigger municipalities and in agencies which provide more generous supplementary assistance, and also strong evidence of shorter episodes in agencies where active labour market programme participation rates are higher.

The purpose of this paper is to summarize existing evidence on welfare dependence among immigrants in Denmark and to produce new evidence with focus on the most recent years.

The paper combines a broad descriptive/analytical approach with multivariate estimation on the impact on welfare dependence from individual background factors.

The main finding is the importance of aggregate low unemployment for immigrants to assimilate out of welfare dependence. Fairly small effects are reported from policy changes intending to influence the economic incentives between welfare programs and jobs.

While panel data as used in the paper have a great potential, still a number of policy changes are not identified at the individual level. In further work it would be relevant to broaden the coverage including also some small policy programs and to extend the analysis to cover the period including the financial crisis years.

The paper has a potential to influence public attitudes in this area and to inform further public policy regarding benefit programs.

The main new result is the finding, at a disaggregate level, of how changes in immigration policy and cyclical changes interact, influencing the assimilation into or out of dependence on cash benefit programs.

Welfare reform banned newly arrived immigrants who came to the US after 1996 from receiving federally funded benefits for five years. One assessment of the success of the five-year ban is the effect it has on behaviors that determine economic success and the likelihood of becoming a public charge. In this chapter, we investigate the effect of the five-year ban on the employment, hours of work, and wages of low-income women. Our results indicate that welfare reform in general caused a significant increase in the employment of low-educated, unmarried mothers regardless of citizenship. Among non-citizens, welfare reform was associated with a 10 percentage point (26%) increase in employment, a two-hour (15%) increase in hours worked per week, and a 10 percent decrease in wages. Surprisingly, we find little evidence that the five-year ban had any additional effect on the employment, hours of work, and wages of low-educated and unmarried, non-citizen mothers.

The purpose of this paper is to explore the main elements of the existing framework of the UK welfare benefit system and the key changes that will be implemented under the Welfare Reform Act 2012 and its socio‐economic effects.

This paper outlines the structure of the key welfare benefits likely to be encountered by those with a neurological disability, the broad qualifying criteria and the interaction between various types of benefit. By comparison, it examines the elements of key significance that will take effect under Welfare Reform and the resulting impact on the various demographics of benefit claimants.

Since the merging of the UK's social security system with unemployment services, welfare legislation has seen countless changes, although the core underlying principles have remained largely the same along the way. The Government has committed to overhauling a complex benefit regime whilst counterbalancing the task of addressing the issues of budget deficit. In principle, the Government aims to deliver a more streamlined, cost‐effective benefit system, which will focus the greatest attention on the most vulnerable elements of our society. The most detrimental affect will be on unemployed, working‐age families; those that are perceived to have a greater advantage in the labour market.

The objective of this paper to raise awareness amongst professionals as to the benefits available to their clients to improve their financial and social position and to go some way to prepare for the potential impact of Welfare Reform.

Whether welfare provision should be broad-based or selectively targeted at the poor is one of the most common themes in social policy discourse. However, empirical evidence concerning people's preferences about these distributive justice principles is very limited. The current paper aims to bridge this gap, by analyzing Europeans' opinions about a hypothetical transformation of the welfare state that would provide social transfers and services only to people on low incomes.

The analysis draws on data from the 2016 European Social Survey and covers 21 countries. In order to understand what would motivate people to support the complete means testing of welfare provision, we use multilevel models with individual-level and contextual predictors.

The results show that the upper and middle classes are the most opposed to the idea, presumably as they would be the net losers from such a reform. Furthermore, our results indicate that more-egalitarian people show a higher level of support for means testing, even though the political left has traditionally promoted universalism. Some key characteristics of the welfare state also matter: People are more likely to endorse complete means testing in countries with less-generous provision and a higher incidence of poverty. However, the extent to which the existing welfare state relies on means testing has no influence on people's opinions about implementing a fully means-tested welfare model.

Some of the key findings are likely to be of interest to activists advocating on behalf of the poor and the socially vulnerable. Although it is generally assumed that universal provision is the best strategy to address the needs of disadvantaged people, our results suggest that from an electoral point of view, targeting within universalism may be a more appealing welfare strategy.

This paper details one of the very few studies to examine preferences for means-tested welfare provision in a comparative context. In addition, one of the contextual variables used in the analysis – the proportion of means-tested social benefits out of the total expenditure on social benefits – is unique to this study.

Previous literature shows that activation requirements for welfare recipients reduce welfare participation. However, the effect of mandatory activation on welfare entry and exit rates has not been fully examined. In this article, we use a rich set of register data that covers the entire population of Stockholm to study how the introduction of activation programs aimed at unemployed welfare recipients in various city districts affects the probability of individuals entering and exiting social assistance (SA). Our results show that mandatory activation has no overall average effects on SA entry or SA exit. However, we do find a significant negative effect of mandatory activation on the SA entry rate for young individuals and for unmarried individuals without children. For unmarried individuals without children, we find a positive but statistically insignificant effect on the probability to leave SA. Thus, individuals with fewer family responsibilities seem to be more responsive to the reform.

Purpose – Although many have expressed concern over whether generous welfare policies discourage the employment of single mothers, scholars have rarely exploited cross-national variation in the generosity of social policies to assess this question. This is the case even though much previous scholarship has examined the effects of social policy on women's and mothers' labor force engagement. This chapter evaluates whether generous social policies have a disincentive effect on single-mother employment.

Methodology/approach – Using the Luxembourg Income Study (LIS), we conduct a cross-national, multilevel analysis of the effects of social policy generosity on single-mother employment in 17 affluent democracies.

Findings – We find high rates of single-mother employment – above 60 percent in 15 of the 17 countries and above 70 percent in 5 countries. We find little effect of social policy for employment, as our two measures of social policy are insignificant in almost all models. If there are welfare disincentives, they only appear significant for young single mothers, and this evidence is limited as well. We find contradictory evidence for the employment incentive for low-educated single mothers.

We determine that single-mother employment is largely driven by the same individual characteristics – educational attainment, age, and household composition – that drive employment in the general population, and among women and mothers.

Originality/value of chapter – To the best of our knowledge, this is one of the few cross-national, multilevel tests of the welfare disincentive thesis for single-mother employment. We provide evidence that welfare generosity does not discourage single-mother employment.