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Why refugees make the native population richer

Why refugees make the native population richer

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This episode tackles a central question: Arerefugees really a burden on the economy — or do we simply not understand howeconomies work?

Many people say: «It all just costs money.»Housing, social benefits, integration programmes — that sounds logical atfirst. But one simple question: Is every expense automatically a loss? Or canit also be an investment?

A study by Marcel Fratzscher and Simon Junkerfrom DIW Berlin shows: yes — there are costs at the beginning. But in the longrun, the economic benefits clearly outweigh those costs. Refugees are not justrecipients — they are also workers, consumers and taxpayers. This changes thecalculation entirely: they generate economic activity on both sides — supplyand demand.

If refugees strengthen the economy in the longrun — why does public debate constantly treat them as a problem? If the data isclear — why do we almost exclusively talk about costs and rarely aboutinvestment? Perhaps the real question is not «Can we afford migration?» — but:Can we afford not to use this potential?

EmpowerMigra— understanding begins with listening.

Source

Fratzscher, M., & Junker, S. (2015).Integrating refugees: A long-term, worthwhile investment. DIW Berlin.

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