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External Publication 22. July 2020 Matthias Diermeier / Judith Niehues / Joel Reinecke in Review of International Political Economy Contradictory welfare conditioning: Differing welfare support for natives versus immigrants

The New Liberal Dilemma predicts that European universal welfare states lose support among natives due to large immigration numbers. This article contributes to the debate regarding the validity of the argument posited by the New Liberal Dilemma by examining the contradictory combination of support for a popular welfare state reform, Universal Basic Income (UBI), and conditionality for immigrants’ access to the welfare state in 20 European countries.

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External Publication
Differing welfare support for natives versus immigrants
External Publication 22. July 2020 Matthias Diermeier / Judith Niehues / Joel Reinecke in Review of International Political Economy

Contradictory welfare conditioning: Differing welfare support for natives versus immigrants

Article in Review of International Political Economy

Matthias Diermeier / Judith Niehues / Joel Reinecke in Review of International Political Economy German Economic Institute (IW) German Economic Institute (IW)

The New Liberal Dilemma predicts that European universal welfare states lose support among natives due to large immigration numbers. This article contributes to the debate regarding the validity of the argument posited by the New Liberal Dilemma by examining the contradictory combination of support for a popular welfare state reform, Universal Basic Income (UBI), and conditionality for immigrants’ access to the welfare state in 20 European countries.

Even though UBI is unconditional, two thirds of UBI supporters want to impose significant conditions on immigrants’ access to the welfare state and thus exhibit contradictory and chauvinistic welfare state preferences. UBI supporters consist of different groups of respondents that are chauvinist. Nativists hold strong anti-immigration attitudes and want to exclude immigrants entirely from welfare benefits, while reciprocity chauvinists are willing to grant immigrants access to the welfare state once immigrants prove themselves to be deserving of benefits by paying taxes for at least a year. In contrast to the welfare magnet hypothesis, inconsistent and chauvinist preferences among UBI supporters are least common in rich European countries with large welfare states. On the macro-level, our findings are independent of countries’ engagement with communism and the share of foreign-born people.

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External Publication
Differing welfare support for natives versus immigrants
External Publication 22. July 2020 Matthias Diermeier / Judith Niehues / Joel Reinecke in Review of International Political Economy

Matthias Diermeier / Judith Niehues / Joel Reinecke: Contradictory welfare conditioning—differing welfare support for natives versus immigrants

Article in Review of International Political Economy

Matthias Diermeier / Judith Niehues / Joel Reinecke in Review of International Political Economy German Economic Institute (IW) German Economic Institute (IW)

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Reform of Personal Income Tax
IW-Policy Paper No. 5 30. June 2026 Martin Beznoska / Tobias Hentze

Reform of Personal Income Tax

Reforming personal income tax has been on the political agenda for years. Although bracket creep has largely been offset over the past ten years, the income tax schedule itself has not been structurally reformed.

Martin Beznoska / Tobias Hentze IW

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IW-Report No. 61 24. November 2025 Björn Kauder

Public spending in international comparison: Where does Germany stand in comparison to its neighboring regions?

Germany faces numerous political challenges. How these tasks are prioritized is reflected in spending policy. It is not without reason that the budget is often referred to as “politics cast in numbers.”

Björn Kauder IW

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