The 2015 refugee inflow and concerns over immigration

How did the large asylum-seeker inflow to Germany in 2015 affect concerns about immigration? Using individual-level panel data for the years 2012–2018 and a policy that allocates asylum-seekers to districts, I identify the effect of exposure to asylum-seekers. In line with the contact hypothesis, living in a high refugee migration district reduced concerns about immigration by 3 pp. Alternatively, a 1 pp. increase in the share of asylum-seekers in the population reduced these concerns by 3.4 pp. The effect appears larger for right-leaning respondents and is driven by districts that do not host a large reception centre. However, the overall trend indicates that after 2015 concerns about immigration increased by about 21 pp. and support for extreme right-wing parties by about 1.7 pp. These trends show considerable heterogeneity for different demographic groups.