POLITICAL SUPPORT for SOCIAL INSURANCE
How Important are Labor Market Risks?
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Most advanced countries have comprehensive socialpolicies addressing the issues in labor markets.However, there are considerable differences acrossnations with regard to their coverage and generosityof publicly provided social assistance. Additionally,most of the public programs have been subject tosubstantial changes over time. These disparities canbe related to the certain labor marketcharacteristics and in particular the risk exposureof the employees. The book inspects the underlyingreasons of demand for social insurance byestablishing a direct link to labor marketuncertainties. Occupationa...
Most advanced countries have comprehensive social
policies addressing the issues in labor markets.
However, there are considerable differences across
nations with regard to their coverage and generosity
of publicly provided social assistance. Additionally,
most of the public programs have been subject to
substantial changes over time. These disparities can
be related to the certain labor market
characteristics and in particular the risk exposure
of the employees. The book inspects the underlying
reasons of demand for social insurance by
establishing a direct link to labor market
uncertainties. Occupational unemployment rate is
treated as an estimate of labor market risk, and it
is concluded that this is the main explanatory
variable. The results suggest that rather than the
type of human capital investment, other forms of
labor market risks shape the insurance policies. The
book is a contribution to the literature on public
choice models of social policy and individual social
policy decisions.
policies addressing the issues in labor markets.
However, there are considerable differences across
nations with regard to their coverage and generosity
of publicly provided social assistance. Additionally,
most of the public programs have been subject to
substantial changes over time. These disparities can
be related to the certain labor market
characteristics and in particular the risk exposure
of the employees. The book inspects the underlying
reasons of demand for social insurance by
establishing a direct link to labor market
uncertainties. Occupational unemployment rate is
treated as an estimate of labor market risk, and it
is concluded that this is the main explanatory
variable. The results suggest that rather than the
type of human capital investment, other forms of
labor market risks shape the insurance policies. The
book is a contribution to the literature on public
choice models of social policy and individual social
policy decisions.
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