Immigration and the public sector in Denmark


February 2002


Externally reviewed


Written by: Eskil Wadensjö and Helena Orrje


In parallel with the rising level of immigration to Denmark, there has been ever growing interest in calculating the economic impact of immigration on public finances. In this book, the leading Swedish economist Eskil Wadensjö, working together with Helena Orrje, have calculated the consequences of immigration for income to the public purse (via taxes) and expenditures (in the form of transfer incomes and the costs of the provision of services). The writers, basing their work on data from the ‘Law Model’, concentrate on developments during the 1990s, a decade of changes in the economic cycle. This enables them to elucidate the significance of an improved employment situation for the effects of immigration on public finances.