Asylum granted: The integration and well-being benefits of obtaining refugee status

How does a person’s immigration status shape well-being, integration and opportunities? Immigration status is particularly high-stakes for people fleeing persecution and violence, who may face uncertainty in their ability to reside legally and move freely. Yet there is limited causal evidence on how obtaining refugee status affects refugees’ lives after arrival. In this study, we address this empirical gap by combining administrative UNHCR records linked to an original panel survey of asylum seekers and refugees in Greece conducted between 2022 and 2023. We use a difference-in-differences design to identify the impact of refugee status on labor market outcomes, integration into host communities, psychological distress and onward migration. We find that obtaining refugee status from the Greek state reduces psychological distress and improves overall integration, with the effects being mostly driven by navigational integration, while also increasing secondary movements within Europe. These results are robust to a variety of checks and specifications, providing evidence for the multidimensional impact of granting refugee status.