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Parental subsidies: The argument from insurance

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  • Paul Bou-Habib

Abstract

This article develops the argument that the state must provide parental subsidies if, and to the extent that, individuals would, under certain specified hypothetical conditions, purchase ‘insurance cover’ that would provide the funds they need for adequate childrearing. I argue that most citizens would sign up to an insurance scheme, in which they receive a guarantee of a means-tested parental subsidy in return for an obligation to pay a progressive income tax to fund the scheme. This argument from insurance bolsters the weaker case that proponents of parental subsidies might offer were they to rely exclusively on arguments from fair play and efficiency.

Suggested Citation

  • Paul Bou-Habib, 2013. "Parental subsidies: The argument from insurance," Politics, Philosophy & Economics, , vol. 12(2), pages 197-216, May.
    • Handle: RePEc:sae:pophec:v:12:y:2013:i:2:p:197-216
    DOI: 10.1177/1470594X12447789
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    References listed on IDEAS

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    1. Harry Brighouse & Erik Olin Wright, 2008. "Strong Gender Egalitarianism," Politics & Society, , vol. 36(3), pages 360-372, September.
    2. Bou-Habib, Paul, 2006. "Compulsory Insurance without Paternalism," Utilitas, Cambridge University Press, vol. 18(3), pages 243-263, September.
    3. Folbre, Nancy, 1994. "Children as Public Goods," American Economic Review, American Economic Association, vol. 84(2), pages 86-90, May.
    4. Janet C. Gornick & Marcia K. Meyers, 2008. "Creating Gender Egalitarian Societies: An Agenda for Reform," Politics & Society, , vol. 36(3), pages 313-349, September.
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