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A First Approach to the Cost of a Basic Social Benefit

Author

Listed:
  • Peña-Miguel Noemi

    (Department of Financial Economics I, University of the Basque Country (UPV/EHU), Avda Lehendakari Agirre 83, Bilbao, Vizcaya 48015, Spain)

  • De La Peña Esteban J Iñaki

    (Department of Financial Economics I, University of the Basque Country (UPV/EHU), Avda Lehendakari Agirre 83, Bilbao, Vizcaya 48015, Spain)

  • Fernandez-Sainz Ana

    (Department of Econometrics and Statistics, University of the Basque Country (UPV/EHU), Avda Lehendakari Agirre 83, Bilbao, Vizcaya 48015, Spain)

Abstract

The Social Security System in Spain is significantly broader and more complex than in other EU countries. One of its problems is that it was not created as a single whole. Instead of this, there are different kinds of social assistance service depending on the region, so there is a real need to reduce the complexity of these schemes and homogenise the benefits paid out in a general basic social benefit. In this paper we propose a new approach to universal basic protection benefit (called Basic Social Benefit) as a way of unifying and rationalising the different grants and economic aids currently available in Spain in order to cover the basic needs of all citizens. This is the first study made in Spain in calculating the lump sum of a basic social benefit for the whole population. For this, we use Quantile Regression (QR) to calculate the principal variables that explain the minimum vital expenditures of Spanish citizens. We also show the total financial cost of this measure for Spain in 2010 and a projection of the cost for the next 12 years.

Suggested Citation

  • Peña-Miguel Noemi & De La Peña Esteban J Iñaki & Fernandez-Sainz Ana, 2014. "A First Approach to the Cost of a Basic Social Benefit," Basic Income Studies, De Gruyter, vol. 9(1-2), pages 95-118, December.
    • Handle: RePEc:bpj:bistud:v:9:y:2014:i:1-2:p:95-118:n:4
    DOI: 10.1515/bis-2014-0008
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    References listed on IDEAS

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    1. Willem Adema, 2006. "Social Assistance Policy Development and the Provision of a Decent Level of Income in Selected OECD Countries," OECD Social, Employment and Migration Working Papers 38, OECD Publishing.
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