Optimal Income Transfer Programmes and Employment in an Ageing Society - Britain and Germany Compared 

Completed Project

Department

Public Economics

Project Management

Viktor Steiner

Anglo German Foundation (AGF)



The goal of this project is to empirically analyse labour market and welfare effects of the current tax-benefit systems in Britain and Germany as well as various policy reforms on the basis of behavioural micro-simulation models, TAXBEN for Britain and STSM for Germany. These models account for the details of the tax-benefit systems in both countries and can be used to perform ex-ante analyses of the labour market and welfare effects of specific policy reforms allowing us to evaluate policies not yet implemented in any one country. For example, we can thus analyse how the introduction of British-style in-work support in Germany or the implementation of new employment subsidies for older unemployed workers, currently under discussion in Germany, would affect labour supply and economic welfare.



Blundell, R., Brewer, M., Browne, J., Haan, P. Myck, M. and Steiner, V. (2007), Optimal Income Transfer Programmes and Employment in an Ageing Society - Britain and Germany Compared. Anglo-German Foundation of the Study of Industrial Society, Final Report, Berlin and London, 2007.

Haan, P. und V. Steiner (2006), Making Work Pay for the Elderly Unemployed – Evaluating alternative policy reforms for Germany, DIW Discussions Papers No. 641.

Haan, P. and M. Myck (2007), Apply with Caution: Introducing UK-Style In-work Support in Germany. Fiscal Studies 28 (1), 43-72.
   

DIW Team