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Reinventing the welfare state

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Author Info

  • Ruud de Mooij

Abstract

The Dutch welfare state is under pressure. Future trends of ageing and globalisation render public finances unsustainable and worsen the position of low-skilled workers on the labour market. At the same time, welfare state institutions seem insufficiently adapted to changed socio-cultural circumstances. Moreover, they cause inactivity among elderly workers, women and social benefit recipients. To prepare for the future, the Dutch government aims to raise labour supply and improve human capital. This study explores how welfare state reform can contribute to these goals. Thereby, we take into account the key social and economic functions that the welfare state fulfils in our society. We analyse a number of reforms in Dutch institutions from a broad welfare perspective and quantify their effects on the labour market and the income distribution. The study also develops three comprehensive prototype welfare state reforms for the Netherlands in the future. We explore how robust these different prototypes are for immigration, economic integration and technological change.

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Bibliographic Info

Paper provided by CPB Netherlands Bureau for Economic Policy Analysis in its series CPB Special Publication with number 60.

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Date of creation: Mar 2006
Date of revision:
Handle: RePEc:cpb:spcial:60

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References

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  1. Timo Tyrväinen, 1995. "Real Wage Resistance and Unemployment: Multivariate Analysis of Cointegrating Relations in 10 OECD Countries," OECD Jobs Study Working Papers 10, OECD Publishing.
  2. Annemiek Vuren & Daniel Vuuren, 2007. "Financial Incentives in Disability Insurance in the Netherlands," De Economist, Springer, vol. 155(1), pages 73-98, March.
  3. Courtney Coile & Jonathan Gruber, 2000. "Social Security and Retirement," NBER Working Papers 7830, National Bureau of Economic Research, Inc.
  4. Madeline Zavodny, 1997. "Welfare and the locational choices of new immigrants," Economic and Financial Policy Review, Federal Reserve Bank of Dallas, issue Q II, pages 2-10.
  5. Klaas de Vos & Arie Kapteyn, 2004. "Incentives and Exit Routes to Retirement in the Netherlands," NBER Chapters, in: Social Security Programs and Retirement around the World: Micro-Estimation, pages 461-498 National Bureau of Economic Research, Inc.
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Citations

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Cited by:
  1. Thomas Seguin & Catherine Mathieu & Henri Sterdyniak, 2007. "Annex 6 : What future for Social Europe ?," Sciences Po publications info:hdl:2441/5082, Sciences Po.
  2. Jan C. van Ours, 2006. "Leaving "Hotel California": How Incentives Affect Flows of Benefits in the Netherlands," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 75(3), pages 186-207.
  3. Callan, Tim & Nolan, Brian & Walsh, John R. & Whelan, Christopher T. & Maitre, Bertrand, 2008. "Tackling Low Income and Deprivation: Developing Effective Policies," Research Series, Economic and Social Research Institute (ESRI), number RS1.
  4. Pierre Koning & Joëlle Noailly & Sabine Visser, 2007. "Do non-profits make a difference? Evaluating non-profit vis-à -vis for-profit organisations in social services," CPB Document 142, CPB Netherlands Bureau for Economic Policy Analysis.
  5. Wim Suyker & Henri de Groot, 2006. "China and the Dutch economy," CPB Document 127, CPB Netherlands Bureau for Economic Policy Analysis.
  6. Gosta Esping-Andersen, 2008. "Childhood investments and skill formation," International Tax and Public Finance, Springer, vol. 15(1), pages 19-44, February.
  7. Wim Suyker, 2007. "The Chinese economy, seen from Japan and the Netherlands," CPB Memorandum 185, CPB Netherlands Bureau for Economic Policy Analysis.
  8. Victoria Chorny & Rob Euwals & Kees Folmer, 2007. "Immigration policy and welfare state design; a qualitative approach to explore the interaction," CPB Document 153, CPB Netherlands Bureau for Economic Policy Analysis.
  9. Wim Suyker & Henri de Groot & P. Buitelaar, 2007. "India and the Dutch economy; stylised facts and prospects," CPB Document 155, CPB Netherlands Bureau for Economic Policy Analysis.
  10. Jan C. van Ours, 2010. "Do We Need Crisis-Specific Labor Market Policies? Lessons from Dutch Miracle - Part II," CESifo Forum, Ifo Institute for Economic Research at the University of Munich, vol. 11(1), pages 29-36, 04.
  11. Catherine Mathieu & Henri Sterdyniak, 2008. "European social model(s) and social Europe," Sciences Po publications 2008-10, Sciences Po.
  12. Egbert Jongen, 2009. "An analysis of individual accounts for the unemployment risk in the Netherlands," CPB Document 186, CPB Netherlands Bureau for Economic Policy Analysis.
  13. repec:spo:wpecon:info:hdl:2441/5082 is not listed on IDEAS
  14. repec:spo:wpecon:info:hdl:2441/6157 is not listed on IDEAS
  15. Ours, J.C. van, 2006. "Leaving "Hotel California": How Incentives Affect Flows of Benefit Recipients in the Netherlands," Discussion Paper 2006-116, Tilburg University, Center for Economic Research.

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