There are big differences between people in what packages they receive of public and private benefits. The composition and size of benefit packages depend on family structures, income situation and position in the labour market.
To study, for example, how work disincentives of how adequate benefits are in ensuring against poverty or compensating income losses, we thus need information on both public and private benefits for a range of different socio-economic groups.
To assess whether policies have adapted to more diverse family structures and whether policies combat gender inequalities or help individuals reconcile work and family life we similarly need data on tax-benefit packages for various socio-economic groups.
To establish new measures and tap into the nature of on-going reforms and their diverse impact, the Centre for Welfare State Research works on a tax-benefit micro-simulation model that has been set up by the OECD.
The tax-benefit model adds modules to the OECD tax-benefit model on public benefits. At the moment we are working on public and private benefits in connection with unemployment, sickness and family. For unemployment this relates to unemployment insurance and severance pay. For sickness this relates to sickness benefits and benefits in case of illness regulated through the labour market. For families this concerns payments related to birth and childhood, i.e. maternity/paternity allowance, maternity pay, paternity pay, child family benefits.
Contact person: Klaus Petersen