Social security is increasingly debated in terms of alleged effects of public pensions on economic efficiency. The author reviews the history and rationale for public provision of retirement income, then argues that the efficiency effects of such schemes are negligible. Social security reform in...

We analyze the political stability of funded social security. Using a stylized theoretical framework we study the mechanisms behind governments capturing social security assets in order to lower current taxes. The results and the driving mechanisms carry over to a fully-fledged and carefully...

This study provides a comprehensive analysis of the generational wealth transfer within Sweden's public pay-as-you-go pension system introduced in 1960. Using extensive administrative registers, the paper quantifies the contributions made and benefits received by each birth cohort. The findings...