Public redistribution in Europe: Between generations or income groups?
Governments face a potential trade-off between provision for the population in retirement and the support of working-age households with low income. Using EUROMOD-based microdata from 28 countries, we quantify public redistribution to pensioner- and working-age households, distinguishing also by income quartiles. In general, Northern European countries are characterized by a low net redistribution between households, limited public pensions, but a strong support of low-income households. By contrast, most Southern European countries are characterized by a high net redistribution to pensioners, offering generous benefits to some, but little support for working age households with low income. Our results show that a strong public net redistribution between households is associated with generous public benefits for a portion of the retirees, but negatively related to support for the population with low income.
HAMMER Bernhard;
CHRISTL Michael;
DE POLI Silvia;
2023-07-31
ELSEVIER
JRC131638
2212-828X (online),
https://www.sciencedirect.com/science/article/pii/S2212828X22000585,
https://publications.jrc.ec.europa.eu/repository/handle/JRC131638,
10.1016/j.jeoa.2022.100426 (online),
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