Many advocates of social security privatization argue that rates of return under a defined contribution individual … riskiness of stock investments. Confusion arises because three distinct reforms are muddled. By privatization we mean creating … about a quarter of all social security contributions, in perpetuity. Unlike privatization, prefunding would raise rates of …

face uninsurable risks. We simulate a stylized 50-percent privatization using an overlapping-generations model where … insurable, privatization produces about $21,900 of new resources for each future household (growth adjusted over time) after all …, privatization reduces efficiency by about $5,600 per future household despite improved labor supply incentives …

We analyze the way in which social security privatization reform affects labor market outcomes. We develop a model of …

This paper evaluates the welfare implications of privatization in emerging market economies, in countries where … policies are determined by the median voter. We show that privatization may lead to large efficiency gains by changing the menu … of taxes. We illustrate this point with two examples. First, we consider privatization of import competing public …

compares achieving progressivity as part of privatization reform by a) providing a pay-as-you-go-financed minimum benefit to …. Maintaining this liability limits the effect of privatization on saving and capital accumulation. Second, the tax financing the …

alternative privatization schemes using the Auerbach-Kotlikoff Dynamic Life-Cycle Model. The simulations indicate three things … long-run gains from privatization are larger if privatization redistributes resources from initial to future generations …, the pure efficiency gains from privatization are also substantial. Efficiency gains refers to the welfare improvement …