Should Social Security Benefits Be Means Tested?
AbstractSocial-security retirement benefits distort the saving decisions of workers who are rational enough to save for their future. Since the implicit rate of return in an unfunded social-security program is less than the marginal product of capital, the resulting decline in saving causes a welfare loss. The present paper examines the conditions under which the welfare loss can be reduced by replacing the current universal social-security program with a means-tested program that pays benefits only to those individuals with little or no other retirement income or assets. Copyright 1987 by University of Chicago Press.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by University of Chicago Press in its journal Journal of Political Economy.
Volume (Year): 95 (1987)
Issue (Month): 3 (June)
Contact details of provider:
Web page: http://www.journals.uchicago.edu/JPE/
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- David Neumark & Elizabeth Powers, 1996. "Consequences of means testing Social Security: evidence from the SSI program," Working Paper 9618, Federal Reserve Bank of Cleveland.
- Miles, David K & Sefton, James, 2002. "Optimal Social Security Design," CEPR Discussion Papers 3290, C.E.P.R. Discussion Papers.
- Docquier, Frédéric, 2002.
"On the optimality of public pensions in an economy with life-cyclers and myopes,"
Open Access publications from UniversitÃ© catholique de Louvain
info:hdl:2078/96132, Université catholique de Louvain.
- Docquier, Frederic, 2002. "On the optimality of public pensions in an economy with life-cyclers and myopes," Journal of Economic Behavior & Organization, Elsevier, vol. 47(1), pages 121-140, January.
- R. Anton Braun & Karen A. Kopecky & Tatyana Koreshkova, 2013. "Old, sick, alone, and poor: a welfare analysis of old-age social insurance programs," Working Paper 2013-02, Federal Reserve Bank of Atlanta.
- Simonovits, András, 2011. "When are voluntary pensions indifferent?," Economics Letters, Elsevier, vol. 111(2), pages 155-157, May.
- Amihai Glazer & Charles Lave, 1994. "How Regulations Can Succeed Where Taxes Do Not: An Examination of Automobile Fuel Efficiency," Public Economics 9406002, EconWPA.
- Sheiner, Louise, 1994. "Marginal Tax Rates and Health Care Reform," National Tax Journal, National Tax Association, vol. 47(3), pages 497-517, September.
- Martin Feldstein, 2005.
"Rethinking Social Insurance,"
NBER Working Papers
11250, National Bureau of Economic Research, Inc.
- Jakob von Weizsäcker, 2003. "The Hayek Pension: An efficient minimum pension to complement the welfare state," CESifo Working Paper Series 1064, CESifo Group Munich.
- Richard Disney, 2005. "Household Saving Rates and the Design of Social Security Programmes: Evidence from a Country Panel," CESifo Working Paper Series 1541, CESifo Group Munich.
- David M. Cutler & Louise M. Sheiner, 1993.
"Policy Options for Long-Term Care,"
NBER Working Papers
4302, National Bureau of Economic Research, Inc.
- Powers, Elizabeth T., 1998. "Does means-testing welfare discourage saving? evidence from a change in AFDC policy in the United States," Journal of Public Economics, Elsevier, vol. 68(1), pages 33-53, April.
- Barrientos, Armando, 2012. "What is the Role of Social Pensions in Asia?," ADBI Working Papers 351, Asian Development Bank Institute.
- Frank N. Caliendo, 2009. "Is Social Security behind the Collapse of Personal Saving?," CESifo Working Paper Series 2746, CESifo Group Munich.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Journals Division).
If references are entirely missing, you can add them using this form.