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1 results

  • 10 - Modern Monetary Theory and the Birth of a New Refugee Realism

  • Edited by Eleni Karageorgiou, Lund University, Gregor Noll, Gothenburg University
  • Book:
    The Question of Solidarity in Law and Politics
    Published online:
    22 December 2025
    Print publication:
    29 January 2026, pp 209-230
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  • Summary

    Researchers and policy makers are in basic agreement that refugees admitted to the European Union constitute a net cost and fiscal burden for the receiving societies. As is often claimed, there is a trade-off between refugee migration and the fiscal sustainability of the welfare state. This chapter argues that the consensual cost-perspective on migration is built on a flawed economic conception of the orthodox ‘sound finance’ paradigm. By shifting perspective to examine migration through the macroeconomic lens offered by Modern Monetary Theory, the chapter demonstrates sound finance’s detrimental impact on migration policy and research. Most importantly, however, this undertaking offers the tools with which both migration research and migration policy could be modernized and put on a realistic footing. As will be shown, this also has fundamental consequences for our conception of human rights and solidarity.