We suggest a political economy explanation for the stylized fact that intragenerationally more redistributive social security systems are smaller. Our key insight is that linking benefits to past earnings (less redistributiveness) reduces the efficiency cost of social security (due to endogenous...

Fast zwanzig Jahre nach der deutschen Wiedervereinigung gibt es immer noch erhebliche regionale Einkommensunterschiede zwischen West- und Ostdeutschland. Der Artikel soll zeigen, wie die Transferzahlungen des Staates diese Einkommensdisparitäten ausgleichen. In einem ersten Schritt untersuchen...

We suggest a political economy explanation for the stylized fact that intragenerationally more redistributive social security systems are smaller. We relate the stylized fact to an "efficiency-redistribution" trade-off to be resolved by political process. The inefficiency of social security...

This paper examines the generosity of the European welfare state toward the elderly. It shows how various dimensions of the welfare regimes have changed during the past 10 to 15 years and how this evolution is related to the process of economic integration. Dimensions include general generosity...