In the need to reform the German labour market, the so-called ‚Hartz IV’- Act cut down subsidies for unemployed people in order to increase the pressure for searching for a new job. By law, low-paid jobs shall be introduced. However, even if this creates employment, there will be a future problem: pensions for these people will dramatically drop below the poverty line. The author argues that, in order to avoid such ‘poverty-traps’, an alternative social support system should be considered: a ‘tax transfer system’ with lowered income tax, yet complete reduction of legal exceptions on the one hand, and transfer systems combined with work incentives on the other hand.
| Identifer | oai:union.ndltd.org:Potsdam/oai:kobv.de-opus-ubp:4785 |
| Date | January 2005 |
| Creators | Deimer, Klaus |
| Publisher | Universität Potsdam, Extern. WeltTrends e.V. Potsdam |
| Source Sets | Potsdam University |
| Language | German |
| Detected Language | English |
| Type | Postprint |
| Format | application/pdf |
| Source | WeltTrends - Zeitschrift für Internationale Politik, 47 (2005), S. 91 - 98 |
| Rights | http://opus.kobv.de/ubp/doku/urheberrecht.php, Volltextzugriff: WeltTrends-Archiv - eingeschraenkter Zugriff |
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