This paper aimes to provide a multidimensional view on the topic of the sustainability of the social system in the long run. Psychology together with sociology indicate that the impact of genetic factors on the forming of an individual into a well-ordered member of society with a normal values is much smaller than the impact of the family and its social capital. Social system aspirates to motivate the needed ones to become financially independent again, but this simply does not work. On the other hand in the attempt to increase the household income especially the socially excluded households chose to change their characteristics in order to get the social benefits rather than to enter labour market. One of the most important and relatively easily changable characteristics in this context is the number of unprovided children in the family. Therefore to get a bigger amount of social benefits they have children. To proove the rationality of such behaviour the concept of the consumption unit is used. This concept quantifies the economies of scale in the common household. The result is that while in the typical family the income per consumption unit steadily decreases with the increasing number of children, in the family without any earnings this income approximatly doubles. The financial situation of the poor family improves with the number of children. This has an adverse effect on the society structure in the long run, because it encourages higher birth rate of the groups that do not contribute to the system. It is possible to lower the birth rate in the unfavourable families and increase it in the typical families by changing the rules of computing the benefits. It is necessary to keep the income per consumption unit independent from the number of children. This can be achieved for example by a tax abatement. It is also advisable to connect the social and retirement system in the manner that the amount of the retirement pension would be affected by the amount of money contributed to the system by the children of the retiree.
| Identifer | oai:union.ndltd.org:nusl.cz/oai:invenio.nusl.cz:15797 |
| Date | January 2009 |
| Creators | Vlček, Petr |
| Contributors | Kotýnková, Magdalena, Sunega, Petr |
| Publisher | Vysoká škola ekonomická v Praze |
| Source Sets | Czech ETDs |
| Language | Czech |
| Detected Language | English |
| Type | info:eu-repo/semantics/masterThesis |
| Rights | info:eu-repo/semantics/restrictedAccess |
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