Hosseini, Roozbeh - Society for Economic Dynamics - SED - 2008
This paper studies the role of social security in providing annuity insurance. I calculate the welfare cost of adverse … calibrate the model to the current U.S. social security replacement ratio, fraction of annuitized wealth and mortality … heterogeneity in the Health and Retirement Study. My findings are as follows. First, in the absence of social security, individuals …