Social security incentives, human capital investment and mobility of labor

Panu Poutvaara

Munich Reprints in Economics from University of Munich, Department of Economics

Abstract: Migration between countries with earnings-related and flat-rate pay-as-you-go social security systems may change human capital investments in both countries. The possibility of emigration boosts investments in human capital in the country with flat-rate benefits. Correspondingly, those expecting to migrate from the country with earnings-related benefits to a country with flat-rate benefits may reduce their investment in education. Allowing for migration may generate an intertemporal Pareto-improvement with cross-border transfers, and the contribution rates satisfying certain conditions. However, these conditions are not satisfied with those contribution rates that would arise if the governments maximize the welfare of their citizens without migration.

Date: 2007
References: Add references at CitEc
Citations: View citations in EconPapers (27)

Published in Journal of Public Economics 7-8 91(2007): pp. 1299-1325

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Social security incentives, human capital investment and mobility of labor (2007)
Working Paper: Social Security Incentives, Human Capital Investment and Mobility of Labor (2005)
Working Paper: Social Security Incentives, Human Capital Investment and Mobility of Labor (2005)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:lmu:muenar:19804

Access Statistics for this paper

More papers in Munich Reprints in Economics from University of Munich, Department of Economics Ludwigstr. 28, 80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Tamilla Benkelberg ().