We study the impact of a fully-funded social security system in an economy with heterogeneous consumers. The unobservability of individual health conditions leads to adverse selection in the private annuity market. Introducing social security - which is immune to adverse selection - affects...

Differences in life expectancy between high and low socioeconomic groups are often large and have widened recently in many countries. Such longevity gaps affect the actuarial fairness and progressivity of public pension systems. However, behavioral responses to longevity and policy complicate...

In this paper we investigate the impact of a reduction in the pension replacement rate on the schooling choice and on inequality. We develop an overlapping generations model in which individuals differ by their life expectancy and in the cost of attending schooling. Individuals optimally choose...

Pensions may be provided for in a modern society by a mix of several methods, namely by voluntary individual savings, 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...

We investigate the differential impact that pension systems have on the labor supply and the accumulation of physical and human capital for individuals that differ by their learning ability and levels of life expectancy. Our analysis is calibrated to the US economy using a general equilibrium...

The strong association between income and mortality raises the question whether more generous social security systems could improve poor people’s health outcomes. Thus, in this paper, I analyze whether a major social security innovation, the introduction of social pensions targeted at poor...

Mit dem Einstieg in die staatlich geförderte private Altersvorsorge, der Einführung des Nachhaltigkeitsfaktors und der Rente mit 67 wurden in Deutschland in den letzten Jahren umfangreiche Rentenreformen verabschiedet. Diese jüngsten Maßnahmen werden im Hinblick auf die sich abzeichnende...

Deutschland verwandelt sich aufgrund der geringen Geburtenrate allmählich in eine »Gerontokratie«. Diese Entwicklung hat fatale Folgen für die Funktionsfähigkeit der staatlichen Sozialsysteme, insbesondere für die Rentenversicherung, denn es fehlen die Beitragszahler, die zukünftig zur...

Kinderlosigkeit hat zwei unmittelbare Auswirkungen auf das Rentensystem. Erstens stehen dadurch in der nächsten Generation weniger Beitragszahler zur Verfügung. Zweitens zahlen Kinderlose ihrerseits typischerweise mehr Rentenbeiträge. Denn insbesondere Frauen ohne Kinder haben ein meist...