HRIR 5054:Public Policies on Employee Benefits: Social Safety Nets for Workers

Prof. James G. Scoville

Fall ‘06----B term----2 credits

Tuesdays, 5:45// Room L-118

This course will expose you to the principal social safety net programs (and one that is not) in the United States, with comparisons to similar programs in other industrialized countries. The requirements of this course are simple: to participate in one of the eight teams responsible for the four debate topics (30%), to write brief summaries/critiques of the four team presentations in which you did not participate (4 x 15% = 60%), and to participate in class (10%).

Note that the reading is fairly extensive and not smoothed out across the term.

VERY IMPORTANT NOTICE: Please note as well that this class meets on the evening of Election Day, November 7. Historically, Minnesota has led the nation in voter turnout. To continue that record, if for no other reason, give some thought to when and how you will vote. Many of you have jobs, and may find it more difficult to vote in the morning (given the uncertainties about amount of time involved, especially if you’re planning to register at the polls), but note that the polls close at 8, so if you come straight to class from work, it’s unlikely that you’ll make it (although again, note that if you’re in line by 8, you must by law be allowed to vote). Since our first session is only a week before the election, when you read this it will already be too late to apply for a mail-in absentee ballot. But you can also vote early in Minnesota by going to your County Courthouse/Building on the Saturday (10:00 - 3:00) and Monday (8:00 - 5:00) before Election Day—by law, they must be open those hours on those days. You should also be able to vote absentee weekdays up to 30 days before the election. You should call your County Elections Office to get details.

Date Topic Assignment (reading) & Misc.

October 31 Backdrop to Safety Nets Friedman and Jacobs, ch. 1

Martin Feldstein, “Rethinking Social Insurance,” AER March 2005.

November 7 Workers’ Compensation Butler, ch. 7

Speaker: David Berry and/or Tad Jude, Dept of Labor and Industry

November 14 Unemployment Insurance Butler Ch. 9

Speaker: Paul Sears, Dept of Employment and Econ Devel

November 21 Health systems F&J, chs. 8, 9, 10, 11

November 28 Social Security F&J, chs. 2, 3, 4, 5

December 5 4 debates Peter Diamond, “Social Security,” AER, March 2004

December 12 Putting it all together, including F&J, chs. 6, 7

Team on K&B book

The class of December 5 will be devoted to debates on these four topics:

Health issues 1. The time has come for a single payer health system—yes or no?

2. Drug prices must be reined in—is it time for direct price controls?

SS Issues 1. The way to save social security is to privatize it—yes or no?

2. Should the US adopt a system of family allowances?—pro/con

The class of December 12 will begin with a team presentation of Kotlikoff and Burns, The Coming Generational Storm. Focus will be on chapters 1-5. Business and/or economics majors will be best for this team, although there is nothing terribly technical in the book.

We shall form the nine teams during the first class session. The four summary/critique papers should review the best arguments of both sides in 4-5 pages, give your overall evaluation of which side seems to have the better case and give a letter grade to both sides (the latter to count for ½ the grade).

So that your holiday season may be more joyous, we shall NOT have an exam at 5:45 on Tuesday, December 19. Texts are Friedman and Jacobs, The Future of the Safety Net, (IRRA, 2001—bookstore) and Butler, The Economics of Social Insurance and Employee Benefits (Kluwer, 1999—on reserve).