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What are the theories of social insurance promoting employment and income?
1. Risk distribution theory: The social insurance system can distribute risks to the whole society, thus reducing the burden of accidents and diseases on individuals and families, improving people's living security level, encouraging people to engage in safer work and promoting employment.
2. Consumption smoothing theory: Social insurance system can provide a certain degree of social security, so that people can smooth their consumption and maintain a normal life when they encounter unfortunate events or diseases, thus reducing the economic risks brought by diseases, accidents and other factors and increasing the stability of employment and income.
3. Theory of human capital: The social insurance system can provide workers with more perfect social security and welfare, make people more willing to participate in activities such as education and training, skill upgrading, and improve their human capital level, thus having more employment opportunities and higher employment income.
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