Living standards in old age are affected both by the pension system and the tax system. Yet, little research analyses the interaction between both systems. In this paper, we connect the principles of the pension system (solidarity vs. insurance) to the principles of the tax system (vertical...

Research has shown that survey-reported pension and retirement income measures may suffer from reporting errors, which lead to biased estimates of income and poverty of the aged population. In this paper, the authors evaluate income estimates from the Census Bureau’s 2016 Current Population...

This paper develops a new combined-wealth measure by augmenting data on net worth from the Survey of Consumer Finances with estimates of defined benefit (DB) pension and expected Social Security wealth. We use this concept to explore retirement preparation among two groups of households in...

Poor heath, large acute and long-term care medical expenses, and spousal death are significant drivers of impoverishment among retirees. We document these facts and build a rich, overlapping generations model that reproduces them. We use the model to assess the incentive and welfare effects of...