By Lei Delsen
To what does the Netherlands owe their contemporary fiscal good fortune? Will the polder version develop into the sufferer of its personal good fortune or will the chance come typically from outdoors? within the Netherlands, polder are small groups hemmed in by way of dykes outfitted to withstand quick emerging tides, and accordingly indicate communal attempt to mediate destructive outdoor forces. Translated in to financial phrases, the polder version entailed tripartite cooperation among company, govt, and exertions to guard the nation's fiscal and social health. Delsen evaluates contemporary adjustments within the Dutch financial system as a result of globalization and American dominance and concludes that the polder version is achieving its finish.
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Extra info for Exit Polder Model?: Socioeconomic Changes in the Netherlands
The AVV act, the legal extension of collective agreements, however, is an important institution that is responsible for wage moderation despite the limited union density (25 to 30 percent of the labor force) in the Netherlands. Abolishment of the legal extension will have far-reaching consequences for the position and policy of labor unions. At present, the labor-union movement is in fact jointly responsible for socioeconomic policy. The absence of the mandatory extension of provisions in the collective labor agreement implies more direct promotion of interests for its members, resulting in highmoney contracts and short-term policies.
0 percent in 1997. The budget deﬁcit has recently turned into a budget surplus. 1). 8 percent in 2000 (CPB 2000:203). The question is whether this is desirable during the present boom, considering the procyclical effect. Practice differs from the estimates. The persistent favorable economic development means considerable unexpected tax revenues (windfall) and lower expenditure on interest and social security. 25 percent of GDP. Both the average wedge (the difference between wage costs and available income) and the marginal wedge (that part of the change in wage costs that is paid over for taxes and social security and pension contributions) disrupt the working of the labor market.
The pension system forms an important part of the welfare state. The manner in which one retires from the labor process is a reﬂection of the interaction between the welfare state, labor relations, the production structure, and labor-market policy. Chapter 7 analyzes the effectiveness and efﬁciency of the Dutch pension system against the background of demographic and social developments. It also examines which structural solutions can serve as a response to these developments. The Dutch pension system consists of a combination of pay-as-you-go ﬁnanced statutory basic old-age pension (ﬁrst pillar), a fully funded compulsory supplementary occupational pension (second pillar), and voluntary individual pensions (third pillar).