Arbeitspapier

Is there a social security tax wedge?

A Beveridgean pension scheme invariably reduces the marginal return to labour, and will thus discourage labour. A Bismarckian scheme can do so only if it is not actuarially fair, or in the presence of credit rationing. In any case, the same pension contribution will discourage labour less if the scheme is Bismarckian than if it is Beveridgean. A Bismarckian scheme may even encourage labour.

Language
Englisch

Bibliographic citation
Series: CESifo Working Paper ; No. 1772

Classification
Wirtschaft
Fiscal Policies and Behavior of Economic Agents: Household
Social Security and Public Pensions
Wages, Compensation, and Labor Costs: Public Policy

Event
Geistige Schöpfung
(who)
Cigno, Alessandro
Event
Veröffentlichung
(who)
Center for Economic Studies and ifo Institute (CESifo)
(where)
Munich
(when)
2006

Handle
Last update
10.03.2025, 11:41 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Cigno, Alessandro
  • Center for Economic Studies and ifo Institute (CESifo)

Time of origin

  • 2006

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