We examine the effect of immigration on public spending from a theoretical (political economic) and an empirical perspective. We distinguish between public spending on private goods and on public goods. Our model implies that whether immigration increases or decreases public spending primarily...

We examine the effect of immigration on public spending from a theoretical (political economic) and an empirical perspective. We distinguish between public spending on private goods and on public goods. Our model implies that whether immigration increases or decreases public spending primarily...

We examine the relation between low-skilled and high-skilled immigration and public spending from a theoretical and an empirical perspective. We introduce the distinction of public spending on private goods and on public goods. Our model implies that high-skilled immigration can have a negative...

External revenue in the form of foreign aid constitutes an important component of the government's budget constraint in many developing countries. We derive optimal public spending — and the resulting optimal deficit and debt — in an optimal control framework when the government seeks to...

This paper analyzes the effects of immigration by skill on the outcome of a majority vote among natives on both the size and the composition of public spending. Public spending can be of two types, spending on rival goods (transfers) and on nonrival goods (public goods). I find that the effect...