Europeanization of long term care An economic approach to European Social Security Law (Timo Fischer) Focus on migrating individuals : mobile individuals may lose part of their claims when movtion to another country Need for coordination of national secutity schemes beacuse of statutory long-term vare schemes Existence of cross-border effects ?
Social security coordination instruments Four principles : (1) equal treatment (2) applicable legislation place of employment (3) maintenance of acquired rights (4) export of benefits => more accurate problem with the increasing number of migrating individuals => provision of long term care is very different among the European countries => cross-border effects may be substantial (comparison of situations)
Questions and remarks (1) Country level (1) different demographic structures of countries more attractive countries will have more elderly and dependent people (presumably) fixed public expenditures : less generous (2) problem of coordination …like a public good game incentive to reduce the provision of long-term care ? (3) role of private insurance in the long-term care ? selective migration
Questions and remarks (2) Individual level (1) Are these cross-border effects sufficiently important to motivate a migration decision ? Migration will occur after retirement, a long time before the need of care: very prudent agents ! (2) Costs & benefits: lose of family help (informal care) (3) Migrants may choose some alternative strategies : stay, return, ‘va-et-vient’ about 25% among French migrants