Saving and taxation in a voluntary pension system : toward an agent-based model

authors: Balázs Király, Ph.D. student (Institute of Physics of Budapest University of Technology, Budapest), András Simonovits, research advisor (Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences also Mathematical Institute of Budapest University of Technology, Budapest)

Mandatory pension systems only partially replace old-age income, therefore the government also operates a voluntary pension system, where savings are matched by government grants. Accounting for the resulting tax expenditure, our models describe the income flow from shortsighted to farsighted workers. 1. In rational models, explicit results are obtained, showing the limited learning of shortsighted workers. 2. In agent-based models, this learning is improved and this raises the shortsighted workers' saving and reduces perverse income redistribution.

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Alternative title:	Megtakarítás és adózás egy önkéntes nyugdíjrendszerben
Year of publication:	February 2016
Authors:	Király, Balázs ; Simonovits, András
Publisher:	Budapest : Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences
Subject:	life-cycle savings \| overlapping generations \| mandatory pensions \| voluntary pensions \| agent-based models \| Sparen \| Savings \| Agentenbasierte Modellierung \| Agent-based modeling \| Altersvorsorge \| Retirement provision \| Overlapping Generations \| Overlapping generations \| Theorie \| Theory \| Gesetzliche Rentenversicherung \| Public pension system \| Lebenszyklus \| Life cycle \| Pensionskasse \| Pension fund \| Private Altersvorsorge \| Private retirement provision \| Simulation