Education and income inequality: The role of a social protection system |
| |
Authors: | Alexandra Rillaers |
| |
Institution: | (1) IRES, Université catholique de Louvain, 3, Place Montesquieu, B-1348 Louvain-la-Neuve, Belgium (Fax: +32-10-47 39 45; e-mail: rillaers@ires.ucl.ac.be), BE |
| |
Abstract: | In this paper we aim to understand the role a welfare state can play in stimulating risky but profitable activities like
investment in education, and in reducing income inequality. We analyze how unemployment benefits may affect investment in
education when the latter is characterized by uncertain returns. This is done in an overlapping generations model in which
endogenous growth is introduced through human capital accumulation. We develop a numerical example of the model in order to
reproduce some key differences between the European versus the North American economy; differences that, according to this
model, result from the different degree of social protection characterizing both economies.
Received: 02 June 1999/Accepted: 22 February 2000 |
| |
Keywords: | JEL classification: D81 H55 I29 |
本文献已被 SpringerLink 等数据库收录! |
|