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Implementing a Guaranteed Minimum Income in Italy: An Empirical Analysis of Costs and Political Feasibility

Author

Listed:
  • Paola Monti
  • Michele Pellizzari

    (Fondazione debenedetti
    IGIER, Fondazione Debenedetti and IZA)

Abstract

In this paper we analyse a hypothetical welfare reform that would introduce a Guaranteed Minimum Income (GMI) in Italy, the only country of the pre-enlargement EU-15 where a programme of this type does not exist. First we compute the overall cost of a GMI under different assumptions about its generosity and adjustments for differences in the cost of living. Then, we discuss alternative options to finance the additional resources needed to implement the programme. Finally, we present an analysis of winners and losers from such reform and we discuss the type of preferences for redistribution that would be required to obtain political support for a GMI from the majority of the voting population.

Suggested Citation

  • Paola Monti & Michele Pellizzari, 2010. "Implementing a Guaranteed Minimum Income in Italy: An Empirical Analysis of Costs and Political Feasibility," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 69(1), pages 67-100, April.
    • Handle: RePEc:gde:journl:gde_v69_n1_p67-100
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    Citations

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    Cited by:

    1. Michele Pellizzari, 2013. "The use of welfare by migrants in Italy," International Journal of Manpower, Emerald Group Publishing Limited, vol. 34(2), pages 155-166, May.
    2. Angelo Spano & Ugo Trivellato & Nadir Zanini, 2013. "Le esperienze italiane di misure di contrasto alla povert?: che cosa possiamo imparare?," ECONOMIA E SOCIET? REGIONALE, FrancoAngeli Editore, vol. 0(2), pages 141-180.

    More about this item

    Keywords

    guaranteed minimum income; poverty; welfare state; social expenditure; preferences; redistribution; Italy.;
    All these keywords.

    JEL classification:

    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs

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