Alliansregeringens arbetsmarknadspolitik – en teoretisk analys av vårdnadsbidraget och förvärvsavdraget.
(2007)Department of Economics
- Abstract
- The purpose of this thesis is to analyze how the two Swedish reforms, child-care allowance and earned income tax credit (EITC) will affect the labour supply. The child-care allowance will be introduced in Sweden during 2008. The aim is to increase the freedom of choice for parents regarding their child-care. In order to be eligible to the allowance, the children need to be between the ages of one and three. The EITC is a tax reduction for those who are employed. The idea of this reform is to make work more profitable for the individual and thereby increase the labour force participation. Economic labour theory is used as a base for the analysis of the effects. The models that are used include the neo-classical labour supply model, Gronau’s... (More)
- The purpose of this thesis is to analyze how the two Swedish reforms, child-care allowance and earned income tax credit (EITC) will affect the labour supply. The child-care allowance will be introduced in Sweden during 2008. The aim is to increase the freedom of choice for parents regarding their child-care. In order to be eligible to the allowance, the children need to be between the ages of one and three. The EITC is a tax reduction for those who are employed. The idea of this reform is to make work more profitable for the individual and thereby increase the labour force participation. Economic labour theory is used as a base for the analysis of the effects. The models that are used include the neo-classical labour supply model, Gronau’s model, wife as a second earner and Becker’s household model. Empirical evidence from countries where similar reforms has already been introduced is used to support the economical models, since no empirical data for Sweden yet exist. Both the theoretical and the empirical observations show that the child-care allowance will decrease the labour supply. The groups that will most likely be affected the hardest are the low-paid and the low-educated, especially women within these groups. According to the economic theories the EITC will likely increase the labour force participation. This is also supported by the empirical observations from the U.K. and the U.S. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/1644128
- author
- Tano, Sofia
- supervisor
- organization
- year
- 2007
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Becker, Sweden, child-care allowance, earned income tax credit, the neo-classical labour supply model, Gronau, Economics, econometrics, economic theory, economic systems, economic policy, Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik
- language
- Swedish
- id
- 1644128
- date added to LUP
- 2007-10-19 00:00:00
- date last changed
- 2010-08-05 14:24:21
@misc{1644128,
abstract = {{The purpose of this thesis is to analyze how the two Swedish reforms, child-care allowance and earned income tax credit (EITC) will affect the labour supply. The child-care allowance will be introduced in Sweden during 2008. The aim is to increase the freedom of choice for parents regarding their child-care. In order to be eligible to the allowance, the children need to be between the ages of one and three. The EITC is a tax reduction for those who are employed. The idea of this reform is to make work more profitable for the individual and thereby increase the labour force participation. Economic labour theory is used as a base for the analysis of the effects. The models that are used include the neo-classical labour supply model, Gronau’s model, wife as a second earner and Becker’s household model. Empirical evidence from countries where similar reforms has already been introduced is used to support the economical models, since no empirical data for Sweden yet exist. Both the theoretical and the empirical observations show that the child-care allowance will decrease the labour supply. The groups that will most likely be affected the hardest are the low-paid and the low-educated, especially women within these groups. According to the economic theories the EITC will likely increase the labour force participation. This is also supported by the empirical observations from the U.K. and the U.S.}},
author = {{Tano, Sofia}},
language = {{swe}},
note = {{Student Paper}},
title = {{Alliansregeringens arbetsmarknadspolitik – en teoretisk analys av vårdnadsbidraget och förvärvsavdraget.}},
year = {{2007}},
}