Download Egalitarian Envy: the Political Foundations of Social by Gonzalo Fernandez De LA Mora PDF

By Gonzalo Fernandez De LA Mora

Egalitarian Envy is a courageous and outstanding contribution to modern political conception by way of one of many seminal thinkers of our period, a piece that confronts the main severe difficulties of recent political concept and demanding situations assumptions which are hardly tested via leaders within the unfastened global. M.E. Bradford, From the ahead Egalitarian Envy is an clever and innovative e-book that freshly reconceives a few commonly used difficulties. Joseph Sobran nationwide assessment

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Additional info for Egalitarian Envy: the Political Foundations of Social Justice

Sample text

Rather puzzlingly, then, many households manage to plan adequately, even knowing very little about their own finances. Further evidence is therefore needed to reconcile these findings and to obtain a unified and consistent message from different strands of research. The basic life-cycle model has been successfully extended to account for various real-life features, and has contributed to a greater understanding of saving behaviour; progress has been made in both the modelling of intertemporal choices and the methodological strategy (thus, looking at the entire life cycle rather than just at the few years around retirement; using an optimisation criterion to establish adequacy targets; and simulating life-cycle patterns for each household, rather than looking at mean/median households).

In addition, more research effort could be directed at the different cohorts within the population, as this is important for the future development of savings adequacy. Each cohort has a different background, with different experiences and preferences, and is faced with a changing institutional environment – and hence will make different choices. In that sense, neither the situation nor the decision behaviour of current elderly generations who enjoy retirement (or are on the verge of retirement) need be representative of the behaviour of younger cohorts.

Reforms affect the younger cohorts more than the older ones, but the young also have to face more uncertainty and show greater flexibility in the labour market, and the joint effects of all these changes weaken simple tests of pension-reform effects on household savings. By transferring risks to the individuals, reforms are likely to affect the poor more than the rich, who are better placed to face risks; the homothetic preferences typically adopted by the LCM, however, neutralise the distinction.

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