, mandatory fully-funded occupational pension systems, mandatory social security financed by pay-as-you-go, and old …-fashioned hoarding in cash. Here, we call the specific mixture of the four systems the pension composition. We assume that individual … pension savings are the only sources of capital supply. When capital supply equals demand from industry there is equilibrium …

future development under current rules. Building on lessons from recent pension theory, we also discuss options for further … reforming the system, highlighting their potential impact on pension finances, public budgets, and retirement incomes. … scheme ("second pillar") that will provide increasing amounts of supplementary pensions to those entering retirement in the …

framework we study the mechanisms behind governments capturing pension assets in order to lower current taxes. This is followed …. Funding is efficient in a Kaldor-Hicks sense. Individuals vote on capturing the accumulated pension assets and replacing the … funded pension pillar with a pay-as-you-go scheme. We show that even if capturing assets reduces welfare in the long run, it …

Using an overlapping generations model, two new indicators of public pension system sustainability are proposed: the … pension space, which measures the capacity to pay for pension expenditures out of labour taxation, and the pension space … exhaustion probability reflecting demographic uncertainties. These measures reveal that the pension spaces of advanced economies …

. We use a multi-period overlapping generations model with a PAYG pension pillar, a funded pension pillar and a government …. Shocks are smoothed via the public debt and variations in the indexation of pension entitlements and the pension contribution … rate, which both respond to funding ratio of the pension fund. The intensity of these adjustments increases when the …

pensions and on a particular type of unfunded (PAYG) pension. Surprisingly little is known about the optimal split between … types of pension system. This paper calculates the expected welfare of agents in differenteconomies where in the steady …

In this paper, we consider how the hours of work and retirement age ought to respond to a change in the uncertainty of … individuals' labor supply and retirement-decisions, the results show that a decrease in the standard deviation of life …-length leads to an increase in the optimal retirement age and a decrease in the hours of work per period spent working. This result …

entitlements, the pension age must be automatically updated to keep the period in retirement constant. Alternatively, policy …Continuous longevity improvements and population ageing have led countries to modify national public pension schemes by … increasing the standard and early retirement ages in a discretionary, scheduled, or automatic way, and by making it harder for …

legal retirement age is increasing in longevity and (iii) decreasing in the public pension replacement rate. We then test …Within a politico-economic model we first establish three hypotheses: (i) Retirees generally prefer a higher retirement … age than workers, whereby just retired individuals prefer the highest retirement age, (ii) in equilibrium the level of the …

A model is presented that explains the mix between funded and unfunded pension systems. It turns out that total pension … and an increase in the capital-output ratio. Whether the pension system will shift to more or less funding depends on the …