Giving the ageing of the population how can countries afford pay-as-you-go social insurance pensions?

Gugushvili, Alexi (2007): Giving the ageing of the population how can countries afford pay-as-you-go social insurance pensions?

Abstract

The paper examines formation and sustainability of Pay-As-You-Go pension systems within the consequences of the ageing of population. Parametric reforms rather than institutional transformation of Pay-As-You-Go systems into funded pension schemes are advocated. Following the modern theories of family economics and contrary to the mainstream works on the issue, reciprocal causation between pension systems and ageing is stressed. The paper concludes that the World Bank’s first pillar adjustment for maintaining the Pay-As-You-Go schemes achieves its objectives only if it is focused on all elements of the Pay-As-You-Go system.

• Item Type: MPRA Paper
• Language: English
• Keywords: Pensions; Pay-As-You-Go; Ageing
• Subjects: J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J26 - Retirement ; Retirement Policies; J - Labor and Demographic Economics > J1 - Demographic Economics > J11 - Demographic Trends, Macroeconomic Effects, and Forecasts; P - Economic Systems > P1 - Capitalist Systems > P11 - Planning, Coordination, and Reform; J - Labor and Demographic Economics > J1 - Demographic Economics > J18 - Public Policy; H - Public Economics > H5 - National Government Expenditures and Related Policies > H55 - Social Security and Public Pensions

References

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