The Economic Analysis On German Social Security System

The social security system is the most important progress of human society in the 20th century, its social solidarity, social mutual help and social justice spirit is becoming a universal goal for human society. German social security system, as most important mode of social security in the world, its mutual aid, fair and impartial guiding principles and the high autonomy management, as well as the successful experience of dealing with the former East Germany social security issue is no doubt to give some reference for China's social security system. The author has studied in Germany, a large number of precious and real basic data has been studied, the paper comprehensive discussed the theoretical basis and historical evolution, the basis of the establishment, operation mechanism and the level of social security as well as the idea of reform about the German social security system, to hope that it will be a view whose helps providing useful knowledge and experience for china's social security system.The paper has explored the elections, establishment, development, improvement, reform process and the effect analysis of the German social security system by using theoretical research, historical research, economics research methods, combining two methods between the specification analysis and evidence analysis. It helps to explore deeply reason, as well as how the different economic factors have an impact on the level of social security, so as to make a fair assessment to the German social security system. German social security system has experienced more than a century and it has really a lot of reference, its Operational mechanism of social insurance system, fund-raising, as well as the principle of self-management, and also reform measures on social security system functions and management policy from German government all about these reflects the principle of increasing the role of the market, reducing state intervention. The paper analyzed German social security system from eight parts by using economic measure.The first part is beginning with the West social security basic theory, analyzed the many schools of economic theory about West social security, and gave an in-depth research on the series of unique theory, in particular, the German new middle road thought, and also its background of foundation and the main Features, this study plays an important role to have research on German social security system along with the Western industrialized, market-oriented, social and historical process.The second part is beginning with the German history of the evolution, detailed analyzed the foundation background of economic, politics, history of German social security system. By using social security system classification method, the paper compared the social security system pattern between Germany and other countries; it helped to conclude the features of German social security system.The third part is beginning with the establishment basic of German social security system, and discussed in-depth how the German market economy system promoted the formation contents and mechanism of the social security system and of the produce. And basic on its background and characteristics, as well as successful experience in Germany, the paper made evaluation for German social security system which has basic achieved public welfare objectives. In this period, we cannot ignore the guiding role of theory of social market economy system.The fourth part is beginning with the function mode of German social security system, and have a deep study on the German pension insurance, medical insurance, unemployment insurance, injury insurance, as well as the care insurance which compound five pillars of insurance of German social insurance, on the basic of for the status quo , hot and difficult problems, and the reform of the German social insurance system, the paper gave a theory responses and evaluation to the German social insurance system; and also in-depth analyzed every social insurance system, as well as on China's social security system of enlightenment.Part of five is beginning with the level of social security, using the method of economic statistical analysis, the paper analyzed economic relationship between the German social security level and several major economic factors such as gross domestic product, unemployment rate, the proportion of the elderly population, private consumption expenditure, and also studied related level, in order to establish the relevance model, which explored the German social security system in trouble. The paper has drawn the following conclusions: unemployment rate and lever of German social security exists the significant impact relationship, it pushed the German unemployment insurance policies to promote job policies for conversion; from the results operation, there are still some differences between the economic effect of German society security system and its design principles; German social security system has passed a road full of twists and turns which is from promotion to control, sustain and adjust , so we cannot put the German social security on the high point according to the German social security system experiences; it must be made that correctly handle the relationship between accumulation and consumption, justice and efficiency to give more room for the market economy.The sixth part is beginning the reform of German social security system, from the angle of every action of government. It used phased approach to analyzed which problem every government faced and which reform must be made and how the effect was. Form this part, we can find out the German government functions in the social security system and effectiveness of the intervention.Part seven is beginning with the evaluation of the German social security system, and the overall performance of the previous reform, and Future reform ideas.Part eight is beginning with the valuable experience of German social security system, to consider the contradictions of function mechanism and problems about China's current social security system, gave some good enlightenment suggestions to China's social security system.To sum up, the paper concluded that the German social security system fully reflects the purpose of social market economy which combined the economic development and social progress, its implementation has a important role to help stability of German economic development and social stability. German is currently spending too much money on social security, and also too much social welfare, those have an adverse impact on the reform of Germany's social security system, although the reform of German social security system is struggling, and also cannot solve completely every problem which they face, the German social security system have achieved successful effect on reducing the unemployment rate, alleviate the crisis of the aging of the population, adjusting labor relations, environment, making the society stably development.