Young and Old Competing for Public Welfare Services

Borge, Lars-Erik; Rattsø, Jørn

doi:10.2139/ssrn.1095130

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Young and Old Competing for Public Welfare Services

CESifo Working Paper Series No. 2223

25 Pages Posted: 19 Feb 2008

See all articles by Lars-Erik Borge

Lars-Erik Borge

Norwegian University of Science and Technology (NTNU) - Faculty of Social Sciences and Technology Management

Jørn Rattsø

Norges Teknisk-Naturvitenskapelige Universitet

Date Written: February 2008

Abstract

Generational conflict affects the supply of public welfare services, and the rising share of elderly is seen as a threat to educational spending. We offer an analysis of spending in child care, primary and lower secondary education, and care for the elderly related to the size of young and old voters. Using panel data from Denmark for the period 1989-1996, we find that the elderly are reducing spending in child care and education, but the young do not threaten elderly care. It is a disadvantage for both the elderly and the young to be part of a large cohort.

Keywords: public welfare services, group size, age composition of the population, generational conflict

JEL Classification: H42, H72

Suggested Citation: Suggested Citation

Borge, Lars-Erik and Rattsø, Jørn, Young and Old Competing for Public Welfare Services (February 2008). CESifo Working Paper Series No. 2223, Available at SSRN: https://ssrn.com/abstract=1095130 or http://dx.doi.org/10.2139/ssrn.1095130