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Choosing from the Reform Menu Card - Individual Determinants of Labour Market Policy Preferences


Friedrich Heinemann


Centre for European Economic Research (ZEW)

Ivo Bischoff


University of Kassel

Tanja Hennighausen


University of Mannheim - Department of Economics

2009

ZEW - Centre for European Economic Research Discussion Paper No. 09-004

Abstract:     
This contribution empirically explores the drivers of labor market reform acceptance for the individual level in Germany. For that purpose we make use of the representative German General Social Survey (ALLBUS). This survey offers data to which extent individuals support benefit cuts, longer working years, cutting subsidies to declining industries, phasing out of employment programmes or a liberalization of employment protection. Our theoretical considerations suggest that self-interest, information, fairness judgments, economic beliefs and other individual factors such as socialization under the communist regime in the former German Democratic Republic drive individual reform preferences. Our empirical results support this notion: While we find self-interest to be an important driving force, our results show that a number of factors well beyond the narrow scope of self-interest strongly shape individual reform preferences.

Number of Pages in PDF File: 27

Keywords: labour market reform, economic beliefs, fairness preferences, ALLBUS

JEL Classification: J48, D63, C42, A13

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Date posted: April 23, 2009  

Suggested Citation

Heinemann, Friedrich, Bischoff, Ivo and Hennighausen, Tanja, Choosing from the Reform Menu Card - Individual Determinants of Labour Market Policy Preferences (2009). ZEW - Centre for European Economic Research Discussion Paper No. 09-004. Available at SSRN: http://ssrn.com/abstract=1393745 or http://dx.doi.org/10.2139/ssrn.1393745

Contact Information

Friedrich Heinemann (Contact Author)
Centre for European Economic Research (ZEW) ( email )
L 7,1
Mannheim, 68161
Germany
HOME PAGE: http://www.zew.de
Ivo Bischoff
University of Kassel ( email )
Fachbereich 07
Nora-Platiel-Straße 4-6
34109 Kassel, 34109
Germany
Tanja Hennighausen
University of Mannheim - Department of Economics ( email )
L 7, 3-5
D-68131 Mannheim
Germany
+49 6211811818 (Phone)
+49 6211811814 (Fax)
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