Collado, M. D., I. Iturbe-Ormatxe and Guadalupe Valera
International Tax and Public Finance – 11 (2004): 335–353

Keywords: Inmigration, Welfare state, Generational accounting

Abstract: The Spanish population will experience significant aging in coming years. This demographic change will impose a heavy burden on the national budget. In particular, expenditure on pensions and health are expected to rise significantly. The inflow of immigrants could help to alleviate the fiscal burden that future generations will have to bear. In this paper we try to quantify the impact of immigration on the SpanishWelfare State, using the methodology of Generational Accounting. Our results suggest that the impact of immigration will be positive and significant.