Utopia, you are standing in it!

Celebrating humanity's flourishing through the spread of capitalism and the rule of law

 Markus Poschke and Barış Kaymak have just put out a paper arguing that increased social spending is a major driver of wealth inequality: Another important and often overlooked third factor is the rise in the generosity of government transfers since 1960, mostly due to the expansion of public pensions (social security) and the introduction of …

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Source: Tax – Social security contributions – OECD Data and Tax – Tax on personal income – OECD Data.

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Those much admired northern European welfare states tax families and individuals much more than do the Anglo-Saxon welfare states. Source: Taxing Wages 2015 – OECD 2015.

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Source: Taxing Wages 2015 – OECD 2015.

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Figure 1 shows a relatively distinct pattern for men in the PIGs. Portugal aside, there has been a long decline retirement ages. This is different to the Anglo-Saxon countries where effective retirement ages have been increasing in recent years for men. Figure 1: average effective retirement age (5-year averages), men, Portugal, Italy, Greece and Spain, 1970 …

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Figure 1 shows a divergence from a common starting point in 1974 effective retirement ages. The French in particular were the first to put their feet up and start retiring by the age of 60 by the early 1990. There was also a sharp increase in the average effective retirement age for men in the …

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