Download Alternatives for Welfare Policy: Coping with by Torben M. Andersen, Per Molander PDF

By Torben M. Andersen, Per Molander

This accomplished survey of key welfare coverage matters, in an age of globalization and growing older populations, attracts on comparative OECD info and case reports from Scandinavia. Torben Andersen and in line with Molander supply a forceful research of the most demanding situations to the normal public quarter welfare country and discover the imperative coverage concepts open to governments in complicated economies. They investigate the benefits and downsides of different welfare regimes with much less reliance on public area involvement.

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20 Alternatives for welfare policy Given the importance of social insurance in public budgets, it should come as no surprise that no less than five chapters are devoted to this complex. Chapter 7, by Lars Soderstr ¨ om ¨ and Klas Rikner, tries to determine the scope for privatisation of social insurance, whereas Ann-Charlotte St˚ahlberg in chapter 8 asks similar questions for collectively negotiated but privately produced social insurance. In chapter 9, M˚arten Palme and Ingemar Svensson analyse the incentive problems of pension systems, with particular reference to the recent Swedish pension reform.

However, this view does not have unequivocal support in economic theory, and it turns out that the opposite situation has support in a wide range of circumstances. The reason is the following: an expansion of public sector activity tends to improve the 8 9 This has, however, been accompanied by an expansion of the tax base; hence tax reductions are not proportional to reductions in the rates. The Primarolo-group (2000) considered 271 arrangements for the taxation of corporations in EU and associated areas, and found 66 cases in which the principle of non-tax competition was broken.

On the other hand, contracting of any kind leads to principal/agent problems that have to be analysed in concrete terms in any given situation. There are consequently reasons to discuss the pros and cons of contracting out, in order to establish limits without ideologically predetermined positions. 5 Plan of the book This book starts out by discussing some of the main challenges faced by the welfare state – internationalisation and demographic change. Chapter 2 examines the current process of internationalisation, with special reference to the problem of risk management.

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