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Social spending and demographics: The role of public policies in the intergenerational redistribution of income. Empirical evidence from Spain and Catalonia
López, Guillem; Mosterin, Ana
Universitat Pompeu Fabra. Departament d'Economia i Empresa
The demographic shift underway in Southern Europe requires a revision of some of thefundamental principles of the traditional welfare state. We analyze the evolution of several aspects of welfare and social expenditure over the last two decades. We find that in the context of the present demographic changes and real estate boom current social and pension policy leads to a new distribution of benefits and burdens which is highly intergenerationally unequal. We argue for a revised definition of public policy based on Musgrave's proposition as a possible rule for an intergenerationally fair distribution.
2007-04-02
Labour, Public, Development and Health Economics
elderly
young
musgrave
intergenerational equity
pensions
social expenditure
life cycle
income distribution
welfare state
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Working Paper
         

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