Stop the grief and back to work! An evaluation of the government's plan to activate widows and widowers
The Belgian “Generations Pact” contained a measure which aims at removing an inactivity trap for people who benefit from a survivor pension. In this paper we use a sample of administrative data from the “Datawarehouse labour market and social protection” and the microsimulation model MIMOSIS to assess the labour supply effects of this reform proposal. In a first step we estimate a standard discrete choice labour supply model for several subgroups. Subsequently we model the proposed reform in the tax and benefit rules and predict the change in desired labour supply of the targeted group. The proposed reform would have a significant positive effect on the labour supply of widows, but the effects are weak amongst low income survivor pensioners.
Volume (Year): 49 (2006)
Issue (Month): 2 ()
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"Discrete Hours Labour Supply Modelling: Specification, Estimation and Simulation,"
Treasury Working Paper Series
03/20, New Zealand Treasury.
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"A collective model for female labour supply with nonparticipation and taxation,"
Public Economics Working Paper Series
ces0214, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Working Group Public Economics.
- Frederic Vermeulen, 2006. "A collective model for female labour supply with non-participation and taxation," Journal of Population Economics, Springer;European Society for Population Economics, vol. 19(1), pages 99-118, February.
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- Richard Blundell & Alan Duncan & Julian McCrae & Costas Meghir, 2000. "The labour market impact of the working families’ tax credit," Fiscal Studies, Institute for Fiscal Studies, vol. 21(1), pages 75-103, March.
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