Economic Impacts of a reformed Social Security Insurance

27-08-2003

INFRAS/KOF (commissioned by the interministerial working group on the financing of social security insurances) Social security insurance needs new revenue sources in the next decades in order to cover increasing expenditures. The study analyses the economic impacts of different financing schemes - i.e., social deductions from wages, value added tax, energy tax - and of an increase/decrease of the benefits offered by the social security insurance. The analysis is based on a macroeconomic model by the Institute for Business Cycle Research (KOF, at the Swiss Federal Institute of Technology) and completed by a static comparative analysis focusing on the short-term impacts of the financing schemes. Order at EDMZ