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Insurance, Redistribution and the Welfare State: Economic Theory and International Comparisons

In: Institutions for Social Well-Being

Author

Listed:
  • Roberto Artoni
  • Alessandra Casarico

Abstract

In this chapter we reconsider the role of the welfare state in modern market economies. After defining the welfare state, and distinguishing between its insurance and redistributive functions (sections 4.2 and 4.3), we tackle the issue first by studying the relationship between the welfare state and economic theory, doing so by analysing how the economic literature has investigated the role and justifications for the welfare state. We address three specific themes: the economic environment in which the institutions of the welfare state are embedded; the impact that they have on savings; and the effects that they generally produce on incentives (section 4.4 and subsections).

Suggested Citation

  • Roberto Artoni & Alessandra Casarico, 2008. "Insurance, Redistribution and the Welfare State: Economic Theory and International Comparisons," Palgrave Macmillan Books, in: Lilia Costabile (ed.), Institutions for Social Well-Being, chapter 4, pages 95-125, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-58435-8_5
    DOI: 10.1057/9780230584358_5
    as

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