Social Insurance and Wealth Distribution
This paper aims to determine whether and, if so, how the existence of a means-tested, asset-based social insurance program and the potential reform thereof impacts wealth distribution in the United States. A dynamic equilibrium model that could generate several features of the current state of wealth distribution in the United States was developed to investigate to the extent to which social insurance programs affect wealth distribution in the United States. The results of several experiments and robustness tests performed using this model suggest that entirely eliminating the U.S. social insurance system would decrease the Gini coefficient from its current value of approximately 0.8 to less than 0.6. However, the results also indicate that reforming the social insurance system, whether by expanding or contracting it by 20%, would have no significant impact on wealth distribution.
Volume (Year): 31 (2011)
Issue (Month): 1 ()
|Contact details of provider:|| |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gary D. Hansen & Ayse Imrohoroglu, 1990.
"The Role of Unemployment Insurance in an Economy with Liquidity Constraints and Moral Hazard,"
UCLA Economics Working Papers
583, UCLA Department of Economics.
- Hansen, Gary D & Imrohoroglu, Ayse, 1992. "The Role of Unemployment Insurance in an Economy with Liquidity Constraints and Moral Hazard," Journal of Political Economy, University of Chicago Press, vol. 100(1), pages 118-42, February.
- Hansen, G.D. & Imrohoroglu, A., 1990. "The Role Of Unemployment Insurance In An Economy With Liquidity Constraints And Moral Hazard," Papers 21, California Los Angeles - Applied Econometrics.
- Karsten Jeske & Sagiri Kitao, 2007.
"U.S. tax policy and health insurance demand: can a regressive policy improve welfare?,"
FRB Atlanta Working Paper
2007-13, Federal Reserve Bank of Atlanta.
- Jeske, Karsten & Kitao, Sagiri, 2009. "U.S. tax policy and health insurance demand: Can a regressive policy improve welfare?," Journal of Monetary Economics, Elsevier, vol. 56(2), pages 210-221, March.
- Selahattin Imrohoroglu & Aise Imrohoroglu, 2005.
"Elimination of Social Security in a Dynastic Framework,"
2005 Meeting Papers
928, Society for Economic Dynamics.
- Luisa Fuster & Ayse Imrohoroglu & Selahattin Imrohoroglu, 2004. "Elimination of Social Security in a Dynastic Framework," Macroeconomics 0402008, EconWPA.
- Marco Cagetti & Mariacristina De Nardi, 2005.
"Wealth inequality: data and models,"
Working Paper Series
WP-05-10, Federal Reserve Bank of Chicago.
When requesting a correction, please mention this item's handle: RePEc:ebl:ecbull:eb-10-00547. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (John P. Conley)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.