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A New Targeting - A New Take-Up?: Non-take-up of Social Assistance in Germany after Social Policy Reforms

Author

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  • Kerstin Bruckmeier
  • Jürgen Wiemers

Abstract

We present first estimates of rates of non-take-up for social assistance in Germany after the implementation of major social policy reforms in 2005. The analysis is based on a microsimulation model, which includes a detailed description of the German social assistance programme. Our findings suggest a moderate decrease in non-takeup compared to estimates before the reform. In order to identify the determinants of claiming social assistance, we estimate a model of take-up behaviour which considers potential endogeneity of the benefit level. The estimations reveal that the degree of needs, measured as the social assistance benefit level a household is eligible for, and the expected duration of eligibility are the key determinants of the take-up decision, while costs of claiming seem to play a minor role.

Suggested Citation

  • Kerstin Bruckmeier & Jürgen Wiemers, 2010. "A New Targeting - A New Take-Up?: Non-take-up of Social Assistance in Germany after Social Policy Reforms," SOEPpapers on Multidisciplinary Panel Data Research 294, DIW Berlin, The German Socio-Economic Panel (SOEP).
    • Handle: RePEc:diw:diwsop:diw_sp294
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    10. Jacobi, Lena & Kluve, Jochen, 2007. "Before and after the Hartz reforms: The performance of active labour market policy in Germany," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(1), pages 45-64.
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    12. Jacobi, Lena & Kluve, Jochen, 2007. "Before and after the Hartz reforms: The performance of active labour market policy in Germany," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(1), pages 45-64.
    13. Jacobi, Lena & Kluve, Jochen, 2007. "Before and after the Hartz reforms: The performance of active labour market policy in Germany," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(1), pages 45-64.
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    Cited by:

    1. Christoph Wunder & Regina T. Riphahn, 2014. "The dynamics of welfare entry and exit amongst natives and immigrants," Oxford Economic Papers, Oxford University Press, vol. 66(2), pages 580-604.
    2. Stefano Boscolo & Giovanni Gallo, 2021. "The Struggle of Being Poor and Claimant: Evidence on the Non-Take-Up of Social Policies in Italy," Center for the Analysis of Public Policies (CAPP) 0174, Universita di Modena e Reggio Emilia, Dipartimento di Economia "Marco Biagi".
    3. Becker, Irene & Schüssler, Reinhard, 2014. "Das Grundsicherungsniveau: Ergebnis der Verteilungsentwicklung und normativer Setzungen. Eine empirische Analyse auf Basis der EVS 2003 und 2008," Arbeitspapiere 298, Hans-Böckler-Stiftung, Düsseldorf.
    4. Becker, Irene & Hauser, Richard, 2012. "Kindergrundsicherung, Kindergeld und Kinderzuschlag: Eine vergleichende Analyse aktueller Reformvorschläge," WSI Working Papers 180, The Institute of Economic and Social Research (WSI), Hans Böckler Foundation.
    5. Gasior, Katrin & Hollan, Katarina & Fuchs, Michael & Premrov, Tamara & Scoppetta, Anette, 2019. "Falling through the social safety net? Analysing non-take-up of minimum income benefit and monetary social assistance in Austria," EUROMOD Working Papers EM9/19, EUROMOD at the Institute for Social and Economic Research.
    6. Becker, Irene, 2015. "Der Einfluss verdeckter Armut auf das Grundsicherungsniveau," Arbeitspapiere 309, Hans-Böckler-Stiftung, Düsseldorf.

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    More about this item

    Keywords

    Non-Take-Up; social assistance; microsimulation;
    All these keywords.

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • C15 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Statistical Simulation Methods: General

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