This paper investigates how demographic change affects the financial sustainability of apay-as-you-gosocialsecuritysysteminanenvironmentwithcollectivebargainingonthe labor market. Partial equilibrium analysis shows that the contribution rate or the benefit level decreases, if the old-age...

This paper investigates how demographic change affects the financial sustainability of a defined benefit pay-as-you-go social security system in an environment with collective bargaining on the labor market. Temporary equilibrium analysis shows that the contribution rate decreases, if the...

Demographic change causes an undersupply of financial old age benefits within the statutory pay-as-you-go pension system in Germany. Therefore, the provision of occupational as well as private pensions has to be enhanced. However, there seems to be an undersupply of occupational pension...