Employment outcomes in the welfare state

Ngai, L. Rachel ORCID: 0009-0005-1605-856X and Pissarides, Christopher ORCID: 0000-0002-0695-058X (2008) Employment outcomes in the welfare state. Revue Economique, 59 (3). pp. 413-436. ISSN 0035-2764

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Abstract

We examine the implications of tax and subsidy policies for employment in the “three worlds of welfare”, Anglo-Saxon, Continental European and Scandinavian. We argue that home production is key to a proper evaluation of the employment outcomes. Anglo-Saxon low-support policies encourage more overall market employment. Continental transfer policies encourage more home production in services with close substitutes at home. Scandinavian policies give incentives to move home production in social services to the market but discourage other service activity. We find support for our claims in sectoral employment data for five representative countries, United States, Britain, France, Italy and Sweden.

Item Type:	Article
Official URL:	http://www.pressesdesciencespo.fr/revues/revuecono...
Additional Information:	© 2008 Presses de Sciences
Divisions:	Centre for Economic Performance Economics
Subjects:	H Social Sciences > HC Economic History and Conditions H Social Sciences > HN Social history and conditions. Social problems. Social reform H Social Sciences > HV Social pathology. Social and public welfare. Criminology
JEL classification:	J - Labor and Demographic Economics > J2 - Time Allocation, Work Behavior, and Employment Determination and Creation; Human Capital; Retirement > J22 - Time Allocation and Labor Supply I - Health, Education, and Welfare > I3 - Welfare and Poverty > I38 - Government Policy; Provision and Effects of Welfare Programs E - Macroeconomics and Monetary Economics > E2 - Consumption, Saving, Production, Employment, and Investment > E24 - Macroeconomics: Employment; Unemployment; Wages; Intergenerational Income Distribution (includes wage indexation)
Date Deposited:	29 Feb 2008
Last Modified:	13 Nov 2024 00:08
URI:	http://eprints.lse.ac.uk/id/eprint/3599

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