Explain How Does Refugee Effects On Public Spending

3.3 How does refugee effects on public spending?

When refugees arrive in European countries, they will compete with local residents for social resources such as housing, land, education, food and medical services. As the population increases, the government will need to raise the cost of public services to meet people's needs. After the refugees feel stabled about the life, the demand for social services will increase. When people demand more and more goods, which easily lead to the overall price level continues to rise, and eventually lead to inflation. And the
Inflation will cause bad influence for the society.
In some instances, they can significantly alter the flow of goods and services within the society as a whole and their presence
When real estate companies are aware of this opportunity, they will increase the construction of housing and thus they need to buy a lot of building materials, which exacerbate inflation.
Similarly, the increase in demand for food and other commodities may also lead to higher market prices. Rising prices also mean that host countries need to invest more money to help refugees.
Host countries and governments shift considerable resources and labor from the urgent demands of their own development to keep the survival of refuges. In Turkey, for example, housing rental prices have risen sharply due to the refugee crisis.10(Orhan and Gundogar, 2015)
In general, even after the influx of refugees in to the European countries may have some "positive" effects, but a large group of refugees is always a heavy burden for the underdevelopment host
The number of unemployed in the host country is growing faster than the number of people employed. In Germany, which has the largest number of refugees, even the government helps the refugees to find work, but still, only a few asylum seekers find work.
For example, before the Syrian crisis, the labor market in Lebanon was characterized by low activity. The female group unemployment rate is higher than the male unemployment rate, the female unemployment rate in 2004 was 8%.( Living Conditions of Households, UNDP)11
However, as Syria refugees’ massive entry that led to the worse employment situation in Lebanon. Many of the refugees are looking for jobs in Lebanon, leading to a sharp rise in unemployment and making their inhabitants more difficult to find jobs. The quality of life of the residents declined.
Most Syrians are less educated and less skilled in their work skills. In order to improve their living conditions, some are very eager to work. this situation poses a threat to services, agriculture, and construction's workers. In general, the refugees are willing to accept low wages and work long hours, and companies do not need to provide social welfare for refugees, which makes some companies are willing to bear refugee