A Single Welfare Benefit Level for Europe? Efficiency Implications of Policy Harmonization in a Federal System

Jason Saving

Southern Economic Journal, 2003, vol. 70, issue 1, 184-194

Abstract: Within the European Union, it has been suggested that greater economic integration will help European economies regardless of the kind of integration Europe chooses to pursue. In this paper, I examine economic integration in the context of redistributive policy and lind that the effects of such integration are crucially dependent upon the level of redistribution to be adopted as a common policy, with higher welfare benefit levels associated with lower levels of federation output. This suggests that the case for policy harmonization at a generous level must rest on equity rather than efficiency considerations.

Date: 2003
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https://doi.org/10.1002/j.2325-8012.2003.tb00563.x

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Persistent link: https://EconPapers.repec.org/RePEc:wly:soecon:v:70:y:2003:i:1:p:184-194

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