Grundeinkommenssicherung in der Sozialen Marktwirtschaft

Thuy Peter

ORDO. Jahrbuch für die Ordnung von Wirtschaft und Gesellschaft, 1999, vol. 50, issue 1, 121-142

Abstract: For economic and social reasons some kind of basic income guarantees have to be provided in industrialized countries. In Germany a system called Sozialhilfe has been established in order to guarantee people a minimum revenue, if no others sources of income are given. The rising cost of the social security system however has revealed the need for a fundamental reform in order to reduce social payments. A simple reduction of the legal basic income is not the appropriate strategy because it would put to risk the key objectives of the Sozialhilfe system. The author proposes, instead, a reform that would oblige recipients of Sozialhilfe to participate in local community work schemes which, in turn, the municipalities would have to provide. In addition, a low compensation and the legal entitlement to receive job training should promote the reintegration of these persons into the regular labour market.

Date: 1999
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DOI: 10.1515/ordo-1999-0113

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