IDEAS home Printed from https://ideas.repec.org/b/ces/ifofob/159.html
   My bibliography  Save this book

Designing an Integrated Social Transfer System

Author

Listed:
  • Maximilian Joseph Blömer
  • Eike Johannes Eser
  • Lilly Fischer
  • Andreas Peichl

Abstract

The German transfer system – comprising citizen’s income, housing benefit, and additional child benefit – is complex, has high marginal tax rates and weak work incentives. Using the ifo microsimulation model, two reform paths are evaluated: a unified transfer system, and a pragmatic solution which merges only housing benefit and additional child benefit. Both simplify structures and strengthen work incentives, with the unified transfer system achieving the strongest results: an increase in labor supply of 149,000 full-time equivalents and fiscal savings of about EUR 4.5 billion. The partial integration also yields positive, though smaller, improvements.

Suggested Citation

  • Maximilian Joseph Blömer & Eike Johannes Eser & Lilly Fischer & Andreas Peichl, 2025. "Designing an Integrated Social Transfer System," ifo Forschungsberichte, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 159.
    • Handle: RePEc:ces:ifofob:159
    as

    Download full text from publisher

    File URL: https://www.ifo.de/DocDL/ifo_Forschungsbericht_159_Integriertes_Sozialtransfersystem.pdf
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ces:ifofob:159. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Klaus Wohlrabe (email available below). General contact details of provider: https://edirc.repec.org/data/ifooode.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.