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Optimal Redistribution With Productive Social Services Author info | Abstract | Publisher info | Download info | Related research | Statistics Luciano Greco () (University of Padua)
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We analyze the optimality of alternative mechanisms of public provision of private goods affecting the productive capacity of households (e.g. education, health-care) rather than directly their welfare. Opting out mechanisms - often considered a tool to focus social expenditure - are proven to be welfare improving under the assumption that the provided good is not a substitute of households' exogenous productive capacity (say, inherited wealth). Conversely, when publicly provided goods are substitute of inherited productive capacity, topping up mechanisms prove more efficient.
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Paper provided by Dipartimento di Scienze Economiche "Marco Fanno" in its series "Marco Fanno" Working Papers with number
0026.
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Length: 36 pages
Date of creation: Oct 2006Date of revision:
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Keywords: In-kind transfers public provision of private goods opting out topping up Other versions of this item:
Find related papers by JEL classification: H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
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