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Title page 1

Contents 4

Abstract 3

1. Introduction 5

2. History and stock of immigrants 7

3. Our approach 8

4. Budget items allocated 11

5. Generation, motive and region 15

5.1. Generation and motive 15

5.2. Source regions 16

6. Data 17

7. Results 18

7.1. Net contributions by age of entry 18

7.2. Differentiation by region and motive 20

7.3. The second generation 22

8. Where are the gaps among natives and immigrants? 24

9. Sensitivity analysis 25

10. Differences in net benefits: initial human capital or returns to human capital? 28

11. Cultural distance 37

12. Conclusions 39

Appendix 1. On CITO scores 41

Appendix 2. Cultural distance 44

Appendix 3. Net lifetime contribution for the second generation 44

References 45

Tables 7

Table 1. Dutch population by background, 2016 7

Table 2. Totals for 2016, of 23 cost and benefit items, for the entire population and broken down by immigration background, in absolute amounts... 12

Table 3. Number of observations per age group. The modal class is in bold 17

Table 4/Table 3. Above: net contribution for immigrants, with remigration, (right) net contribution per person, (left) net contribution by entry age for six selected... 20

Table 5/Table 4. Sensitivity analysis regarding state pension age, discount rate and weighting of public goods 26

Table 6/Table 5. CITO scores by immigration motive and first and second-generation immigration background, 2006-2018 31

Table 7/Table 6. Decomposition of the differences in lifetime net contribution between natives and second-generation Western and non-Western immigrants.... 37

Table 8/Table 7. Average net contribution by source country on dummies for cultural distance, average schooling level and average CITO score 38

Figures 19

Figure 1. Net contribution by entry age for first-generation immigrants, total and broken down by Western and non-Western and for hypothetical immigrants... 19

Figure 2. Net contribution of first-generation immigrants for 42 regions of origin, with remigration. The Netherlands is coloured with the results of the native... 21

Figure 3. Net contribution of first-generation immigrants by immigration motive and entry age. For study and work immigrants, the numbers for young ages... 22

Figure 4. Net contribution of people with a second-generation immigration background for 42 regions of origin, with permanent settlement (no remigration) 23

Figure 5. Average level (CBS 8-part division) of education (left), and net contribution over the life course (right) by CITO score for native Dutch people and... 29

Figure 6. Education level according to the CBS 5-part division of first-generation immigrants, aged 25 to 65: a. Bar chart above: by R12 immigration background.... 30

Figure 7. CITO scores of people with a first-generation immigration background, by R42 region of origin, 2006-2018 32

Figure 8. CITO scores for second-generation immigrants, by R42 region, 2006-2018 33

Figure 9. Distribution of CITO scores, split by immigration background, aggregated per 5-point range 34

Figure 10. Distribution of highest education attained and current level of education for those studying, for 38-year-olds in the Dutch population,... 36

Figure 11. Regression of net contribution (vertical axis) on educational level (horizontal axis) and three groups of culture clusters. The yellow line represents... 39

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