Examining whether public assistance benefits are adequate from the flexion point perspective

2014 Fiscal Year Final Research Report

• Project/Area Number: 25780178
• Research Category: Grant-in-Aid for Young Scientists (B)
• Allocation Type: Multi-year Fund
• Research Field: Economic policy
• Research Institution: Fukuoka University
• Principal Investigator: TAMADA Keiko 福岡大学, 経済学部, 教授 (80389337)
• Project Period (FY): 2013-04-01 – 2015-03-31
• Keywords: 生活保護 / 社会保障

Outline of Final Research Achievements

We examine whether the amount of livelihood aid, a form of aid provided under the public assistance system, is appropriate. Using anonymized data on Japan from the National Survey of Family and Expenditure, we estimate “flexion points” while controlling for households’ attributes. As incomes fall, consumption tends to decrease, but consumption decreases sharply at a certain income level. The point at which consumption begins to decrease sharply is the flexion point. We find multiple such points in certain years and none in the other years. Furthermore, we calculate the amount of household consumption expenditures at flexion points, and we consider these consumption expenditures as minimum costs of living. We find that these costs for a married couple with one child are between 100,000 yen and 190,000 yen and that those for a single-person household are between 59,000 yen and 78,000 yen. The calculated consumption expenditures tend to be lower than the amount of livelihood aid.

Free Research Field

社会保障論　労働経済学