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Minimum Pensions and Regional Income Redistribution in Spain

Author

Listed:
  • PATRICIA PEINADO

    (University of the Basque Country)

  • FELIPE SERRANO

    (University of the Basque Country)

Abstract

One of the instruments used to combat poverty among the elderly is the minimum pension. In Spain, minimum pension is yearly set by government and has a positive effect on income redistribution between regions. In this contribution we analyze and quantify such redistribution. Results show that pensions in regions with low per capita income draw higher amount of supplement than regions with high per capita income. In short, the positive effect of the minimum pension on the income redistribution of the retired population is associated with a relative pension benefit improvement for pensioners in poor regions (above the national average).

Suggested Citation

  • Patricia Peinado & Felipe Serrano, 2024. "Minimum Pensions and Regional Income Redistribution in Spain," Hacienda Pública Española / Review of Public Economics, IEF, vol. 251(4), pages 51-79, December.
    • Handle: RePEc:hpe:journl:y:2024:v:251:i:4:p:51-79
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Minimum pensions; Social security; Spain; Regional income distribution.;
    All these keywords.

    JEL classification:

    • D30 - Microeconomics - - Distribution - - - General
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

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