Australia does far better than any other country in targeting its welfare state to the bottom of the income distribution. Having an old age pension that is asset tested and income tested has a lot to do with that. New Zealand has an old age pension that is not income tested or asset tested. The USA has a contributory social insurance system that also ensures a considerable amount of its public social benefits are paid to the well off because they paid in Social Security taxes.

Source: OECD Income Distribution database, via http://oe.cd/idd
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