Social minimums, allowances, progressive taxes: redistribution mechanisms benefit more than they cost nearly 60% of French people, according to a study published Tuesday by INSEE. Redistribution even reaches “more than 95% of people among the poorest 15% (of French people)” and conversely only “13% among the wealthiest 5%.”
The various levers of social policy thus make it possible to divide income inequalities by six between the wealthiest 10% of households and the poorest 13% of households. Before redistribution, the former received nearly 130,000 euros in income per year in 2019, approximately 18 times more than the 6,980 euros received by the latter.
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But once all taxes and benefits are taken into account, the richest only receive three times (78,480 euros) the amount received by the poorest (25,330 euros) – mainly due to significantly higher taxes and duties. on wealthy households.
Thus, the income of executives, self-employed workers and business leaders, which is on average 2.7 times higher than that of workers before social transfers, drops to only 1.7 after transfers. Those over 60 are among the main beneficiaries of redistribution mechanisms, in particular because they receive retirement pensions and benefit proportionally from more health benefits than the youngest French people. INSEE also notes that redistribution helps reduce income gaps between couples and women living alone, whether or not they have a child.