In this paper I study how PAYG pension systems of the notional defined contribution type can be designed such that they remain financially stable in the presence of increasing life expectancy. For this to happen two crucial parameters must be set in an appropriate way. First, the remaining life...

In this paper I study the impact of increasing longevity on pay-as-you-go pension systems. First, I show that increasing longevity increases their internal rate of return. The size of the effect di ers for di erent policy regimes. It is higher for the case where the retirement age is increased...

The paper studies how the rates of deduction for early retirement have to be determined in PAYG systems in order to keep their budget stable. I show that the budget-neutral deductions depend on the speci_c rules of the pension system and on the choice of the discount rate which itself depends on...

The aim of this article is to evaluate the effectiveness of voluntary pension savings plans in Poland, based on the principles of operation and rates of return of voluntary pension funds (pol. Dobrowolne Fundusze Emerytalne, DFE). The selection of those funds from a whole range of solutions...

We study job retention rates - the shares of workers who continue to work in the same job over the next five years - in Czechia, Hungary, Poland and Slovakia. Job retention among older workers is key to prolonging careers and increasing employment of older people which in turn is a crucial...

This paper studies actuarial neutrality in the Austrian pension system. It is often argued that actuarial neutrality constitutes an incentive for people to retire. We show that there are almost no financial incentives within the Austrian pension corridor when we use the traditional definition of...

Die Alterung der deutschen Gesellschaft setzt das Rentensystem unter erheblichen Reformdruck. Simulationen für westdeutsche langjährig versicherte Männer zeigen, dass Anreize für einen späteren Renteneintritt das Rentensystem stabilisieren können. Die Einkommensverluste sind dabei geringer...

Since the beginning of the 1990s, it has been widely expected that the implementation of the European Single Market would lead to a rapid convergence of Europe’s financial systems. In the present paper we will show that at least in the period prior to the introduction of the common currency...