Beans for breakfast? How exportable is the British workfare model?

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dc.contributor.author Bargain, Olivier
dc.contributor.author Orsini, Kristian en
dc.date.accessioned 2008-09-30T15:18:35Z
dc.date.available 2008-09-30T15:18:35Z
dc.date.copyright Copyright 2007 Elsevier en
dc.date.issued 2006
dc.identifier.isbn 978-0-7623-1347-1
dc.identifier.uri http://hdl.handle.net/10197/560
dc.description.abstract Social assistance and inactivity traps have long been considered as one of the main causes of the poor employment performance of EU countries. The success of New Labour in the UK has triggered a growing interests in instruments capable of combining the promotion of responsibility and self-sufficiency with solidarity with less skilled workers. Making-work-pay (MWP) policies, consisting of transfers to households with low earning capacity, have quickly emerged as the most politically acceptable instruments in tax-benefit reforms of many Anglo-Saxon countries. This chapter explores the impact of introducing the British Working Families’ Tax Credit (WFTC) in three EU countries with rather different labor market and welfare institutions: Finland, France and Germany. Simulating the reform reveals that, while first-round effects on income distribution is considerable, the interaction of the new instrument with the structural characteristics of the economy and the population may lead to counterproductive second round effects (i.e. changes in economic behavior). The implementation of the reform, in this case, could only be justified if the social inclusion (i.e. transition into activity) of some specific household types (singles and single mothers) is valued more than a rise in the employment per se. en
dc.format.extent 4304 bytes
dc.format.mimetype application/pdf
dc.language.iso en en
dc.publisher Emerald en
dc.relation.ispartof Bargain, Olivier (ed.). Research in Labor Economics, volume 25. en
dc.relation.isversionof Bargain, O. and Orsini, K. (March 2006) "Beans for breakfast? How exportable is the British workfare model?". IZA Discussion Paper Series No. 2025. Bonn: The Institute for the Study of Labor (IZA) en
dc.subject Micro-Simulation in Action en
dc.subject Policy Analysis in Europe using EUROMOD en
dc.subject.lcsh Taxation--Europe en
dc.subject.lcsh Labor supply--Europe en
dc.subject.lcsh Employment subsidies--Great Britain en
dc.title Beans for breakfast? How exportable is the British workfare model? en
dc.type Journal Article en
dc.internal.authorurl Olivier Bargain (web page) en
dc.internal.authorurl http://www.ucd.ie/economics/staff/obargain/olivier.bargain.htm en
dc.internal.authorcontactother Email: Olivier.Bargain@ucd.ie; Tel: 353 1 716 8357 en
dc.internal.authorid UCD0001 en
dc.internal.availability Full text available en
dc.internal.webversions Publisher's version en
dc.internal.webversions http://dx.doi.org/10.1016/S0147-9121(06)25007-6 en
dc.status Not peer reviewed en
dc.identifier.doi 10.1016/S0147-9121(06)25007-6
dc.neeo.contributor Bargain|Olivier|aut|UCD0001
dc.neeo.contributor Orsini|Kristian|aut|


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