Financing social security: simulating different welfare state systems for Germany

Arbeitspapier

In Germany, there is an ongoing debate about how to increase the efficiency of the social security system and especially its financing. The aim of this paper is to simulate different financing systems for Germany. The introduction of a Liberal British or the Southern Greek financing system increases inequality and poverty, as well as labour supply incentives. The introduction of the Social-democratic Danish financing system decreases inequality of incomes, but does not necessarily lead to less poverty. Tax payments are extremely high, whereas social contribution payments are relatively low leading to mixed incentives effects.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 4135

Classification and Topics

• Classification: Wirtschaft ; Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access ; Personal Income, Wealth, and Their Distributions ; Personal Income and Other Nonbusiness Taxes and Subsidies; includes inheritance and gift taxes
• Subject: Social security ; welfare states ; comparative analysis ; EUROMOD ; Sozialversicherungsfinanzierung ; Soziale Sicherung ; Sozialstaat ; Einkommensverteilung ; Arbeitsangebot ; Ökonomischer Anreiz ; Simulation ; Deutschland

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Dieckhöner, Caroline ; Peichl, Andreas
• Event: Veröffentlichung
• (who): Institute for the Study of Labor (IZA)
• (where): Bonn
• (when): 2009

Further information

• Handle: http://hdl.handle.net/10419/35593
• URN: urn:nbn:de:101:1-20090513333
• Last update: 10.03.2025, 11:43 AM CET