Labour Mobility and Decision Making on Social Insurance in an Integrated Market

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Labour Mobility and Decision Making on Social Insurance in an Integrated Market

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Lejour, Arjan M
Verbon, Harrie A A

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Arjan M. Lejour

Abstract

In a two-country model, the consequences of labor mobility on social insurance levels are studied. There are two groups of workers, one with a high risk and the other one with a low risk of being nonemployed. In both countries, the decision-making function on social insurance is some weighted average of the expected utilities of both groups. In case low-risk workers are much more mobile than high-risk workers, it can be concluded that labor mobility does not necessarily have a downward effect on social insurance. In that case, coordination of decision-making would not improve levels of social insurance. Copyright 1994 by Kluwer Academic Publishers

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Article provided by Springer in its journal Public Choice.

Volume (Year): 79 (1994)
Issue (Month): 1-2 (April)
Pages: 161-85
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Handle: RePEc:kap:pubcho:v:79:y:1994:i:1-2:p:161-85

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Karin Mayr, 2007. "Immigration and income redistribution: A political economy analysis," Public Choice, Springer, vol. 131(1), pages 101-116, April. [Downloadable!] (restricted)
Seija Parviainen, 1998. "Redistribution and Risk Sharing in EMU," Discussion Papers 159, Government Institute for Economic Research Finland (VATT). [Downloadable!]
Cremer, Helmuth & Pestieau, Pierre, 2002. "Factor Mobility and Redistribution: A Survey," IDEI Working Papers 154, Institut d'Économie Industrielle (IDEI), Toulouse, revised 2003. [Downloadable!]
Arjan Lejour & Harrie Verbon, 1996. "Capital mobility, wage bargaining, and social insurance policies in an economic union," International Tax and Public Finance, Springer, vol. 3(4), pages 495-513, October. [Downloadable!] (restricted)
Stéphane Rossignol & Emmanuelle Taugourdeau, 2006. "Asymmetric social protection systems with migration," Journal of Population Economics, Springer, vol. 19(3), pages 481-505, July. [Downloadable!] (restricted)
Lejour, A., 1995. "Social Insurance and the Completion of the Internal Market," Discussion Paper 61, Tilburg University, Center for Economic Research. [Downloadable!]
Alexander Kemnitz, 2002. "On the Political Economy of Low Skilled Immigration and the Welfare State," International Tax and Public Finance, Springer, vol. 9(4), pages 423-434, August. [Downloadable!] (restricted)

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