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Bent
Rold Andersen
by himself:
I am professor of economy. I have been teaching
at the universities of Copenhagen and Roskilde....My
main field is social policy and labour market
policy. In addition to that I have worked very
much for the government for a long time. My work
has always been on the borderline between politicks
and research. Therefore I have been in several
committees during that time. For a few months
I was a minister of social affairs, thirty years
ago. Now I am retired and have been elected in
July a member of the city council of N³stved....
where we are now...
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Q>
How would you describe your country's social policy?
A> Well... the most important characteristic
of Danish system is that we have a lot of income compensating
benefits and these are, almost all of them, financed
through the general tax system of this country. That
is to say, that we do not have, like most other countries,
social insurance system - we could call it a social
security system - this means that there is not any connection
between the rights of a person and what he has contributed
to the system. Everybody who lives in Denmark and has
lived here for some years, has the right for the benefits
i.e. retirement, the access to health system - it is
all free... either for hospital or general practitioners.
Everybody has the access and nobody asks how much have
you paid in contributions or in taxes. So, we have cut
off the connection between what other people might call
the rights and duties. The idea behind this is that
those who have not been lucky to have job in the labour
market should also have access to the same services
as those who have been fortunate and had a job, maybe,
all that time. So that means for instance, that a person
who has been handicapped and unable to work for his
whole life - he would have the same access to the general
retirement system as well as a person who has worked
heavily and paid contributions for the whole of his
life. That is the main characteristic which differs
itself from what you see in most other countries, at
least in Europe and maybe also in your country...
Q>
What has been changed in Danish social policy in last
twenty years?
A> Well... it is not a simple answer. The criteria,
the fundamental criteria of the Danish system has been
modified very much since the middle of the eighties
and a system of labour market related to retirement
has been introduced to be put above the general system
That means that some years ago there was no distinction
between the person who has worked his whole life and
somebody else who has not contributed to the production.
But now there is, not because of the fundamental system
but because of the trade unions role in the negotiations
with the employers which have succeeded in having (obtaining)
additional labour market related retirements (in regards
to the general system). Some people would see this as
an improvement - I do not see it like that...
Q>
Why?
A> I like systems that transfer money from the
wealthy to the less wealthy people. I know that there
are very narrow limitations for doing that for those
who are working in the industries and who work under
market conditions. Market conditions do not create equality
- they create inequality - and it is necessary if you
have market
conditions to have that. But when you grow old and retire
- you can use the retirement to compensate for the inequalities
which were created during the productive years and that
is what I like in Danish system. It creates more equality
among elderly people - so it is compensation - so it
is a kind of compensation. Now this has been changed
very much by the introduction of labour market related
retirements for those who have really worked for their
whole life. This also means that differences in amounts.
Those who have earned a lot throughout their life -
will get higher amounts in labour marked related retirements
than those who have earned less than that. In the general
system, tax finance systems, everybody gets the same
amount - so this creates equality whereas in our system,
in many ways, creates more inequality. So you can say
that system has been more expensive delivering more
money to social retirement funds than before, but the
target of creating equality has not been reached yet.
Whether this is good or bad depends on who is making
the evaluation. I would rather like to see the general
retirement approved.
The second part of the interview with Mr. Bent Andersen
will be published in the next printed issue of the
newsletter and online (may-june 2002.)
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