Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/115013 
Year of Publication: 
2009
Series/Report no.: 
NRN Working Paper, NRN: The Austrian Center for Labor Economics and the Analysis of the Welfare State No. 0904
Publisher: 
Johannes Kepler University Linz, NRN - The Austrian Center for Labor Economics and the Analysis of the Welfare State, Linz
Abstract: 
Does the supply of a welfare state create its own demand? Many economic scholars studying welfare arrangements refer to Say’s law and insinuate a self-destructive welfare state. However, little is known about the empirical validity of these assumptions and hypotheses. We study the dynamic effect of different welfare arrangements on benefit fraud. In particular, we analyze the impact of the welfare state on the respective social norm, i. e. benefit morale. It turns out that a high level of public social expenditures and a high unemployment rate are associated with a small positive (or no) immediate impact on benefit morale, which however is crowded out by adverse medium and long run effects.
Subjects: 
Welfare state
social norms
benefit fraud
benefit morale
JEL: 
A13
I30
I38
J65
J68
H20
Z13
Document Type: 
Working Paper

Files in This Item:
File
Size
1.32 MB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.