Whither Systemic Reform? A Critical Review of the Literature On the Distributional and Income Adequacy Effects of Systemic Pension Reforms**
Management Revue › Band 20 Nr. 3, Juli 2009
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Zusammenfassung
What is the relationship between the introduction of defined-contribution accounts into public pension systems and changes in elderly poverty and income inequality?*** The present study examines the current state of knowledge with regard to mese relationships. The study is divided into four parts: 1) an overview of data indicating that elderly poverty began to rise at least in developed economies in recent years; 2) a discussion of a body of conceptual and empirical studies that suggests definedcontribution accounts will adversely impact elderly poverty and income inequality; 3) a review of confounding factors that make it difficult to project the direction of such relationships; 4) suggestions for future research.
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Auszug
Whither Systemic Reform? A Critical Review of the Literature On the Distributional and Income Adequacy Effects of Systemic Pension Reforms**
Introduction
For almost thirty years we have witnessed a worldwide trend of public pension reforms. Beginning in Chile in 1981 (Corbo/Schmidt-Hebbel 2003), the trend gathered momentum, spreading first to other countries in Latin America (Calvo/Williamson 2008; Campbell 1992; Cottani/Demarco 1998; Claramunt 2004; Kritzer 2000)1 and later to Central and Eastern Europe (CEE) (Fultz/Ruck/Steinhilber 2003), as well as Western Europe (Kremers 2002) and Australia (Edey/Simon 1998; Saunders 2002) during the 1990s.2 Although approaches to reform varied, a fairly common pattern was to move away from pay-as-you-go (PAYG) defined-benefit programs towards systems that incorporated defined-contribution plans closely linking retirement benefits to the value of pre-retirement contributions (Feldstein/Siebert 2002; Smetters 1999).Various systems were implemented, from partial to full reliance on mandatory defined-contribution accounts, generally privately administered, to state-administered notational defined-contribution systems (NDCs) (Feldstein/Siebert 2002). In all of these approaches, benefits for retirees are a function of accumulated contributions plus or minus returns from investments in securities markets. In NDCs, earnings contributions are credited and revalued annually in accordance with an index (e.g., the rate of increase in covered wages, or ...Siehe den Gesamtinhalt dieses Dokumentes
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