|Designing a Korean Welfare State Model:A Comparison of Welfare Regimes|
|Attach||Designing a Korean Welfare State ModelA Comparison of Welfare Regimes(KOR).pdf||Author||Yeo Eugene||Date||2017/10/26|
Based on the regime theory of welfare state, this study aims to inquire into the current state of the Korean welfare system and obtain implications for its future directions by comparing welfare states in various areas, including the labor market, family support policy, old-age security, tax system, welfare expenditure, redistribution and the quality of society. The findings of this study can be summarized as follows.
Fourthly, a look at public spending on old-age income assistance, health and long-term care indicates that Korea’s old-age security system has shifted from “medicine-centered” (2000) to “service-centered” (2011). This phenomenon is the product of two factors of contribution. 1) In the middle of the weak system of public income security for the elderly including National Pension, health insurance is relatively developed. 2) Due to the settlement of long-term care insurance system for the elderly implemented from 2008, geriatric care services rapidly extended.
Fifthly, Korea is classified as “neutral country” which is not inclined to one side in terms of tax burden, similar to Southern Europe. In fact, considering the current coordinates of tax burden, it is considered advantageous if the direction of tax increase is not inclined to one side. In other words, it is required to look for the golden rule minimizing the tax resistance and maximizing tax increase effects through the appropriate com bination among reduction of corporate tax exemption, increase of income tax rate, decrease of Duty Free Shop, increment of consumption tax focused on non-basic goods and increase of pension contributions.
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