People who delay claiming Social Security receive higher lifelong benefits upon retirement. We survey individuals on their willingness to delay claiming later, if they could receive a lump sum in lieu of a higher annuity payment. Using a moment-matching approach, we calibrate a lifecycle model...

The paper investigates the impacts of demographic change on the financial sustainability of a pay-as-you-go social security system in an economy with unemployment caused by trade unions. Using a simple two-period overlapping generations approach, it can be shown that the trade union behavior...

This paper investigates the impacts of defined-benefit (DB) pension plans on the corporate investment choices between diversifying and non-diversifying investments. We find a firm’s DB plan coverage is negatively associated with its propensity of making a major investment. Subject to a major...

Pension economics has traditionally guided pension policy with the help of formal models based on individuals who think in a life cycle context with perfect foresight, full information, and in a time-consistent manner. This paper sheds light on selected aspects of pension economics when these...

Given rising life expectations around the world, it seems that old-age pension benefits will need to be cut and pension contributions boosted in many nations. Yet our research on old-age system reforms does not require raising mandatory retirement ages or contributions. Instead, we offer ways to...

The earliest age at which women can receive a state pension in the UK (the "state pension age") has been increasing since 2010. We use a difference-in-differences methodology, exploiting the gradual increase from age 60 in 2010 to age 63 in 2016, to estimate the impact of the reform on women's...

In order to secure the retirement some Poles decided to save under the third pillar. This article presents proposals for additional forms of saving for retirement in the form of Employee or Personal Equity Plans proposed in the Strategy for Responsible Development - Capital Construction...

The main aim of the study is to identify the size of the pension gap in Poland and to estimate the level of supplementary savings needed to cover it. The issue of pension system income adequacy is first discussed, and the forecasted and targeted levels of replacement rates in Poland are...

Mit der Rentenreform von 1957 wurde die Dynamisierung der Renten eingeführt. Renten sollten sich im Gleichschritt mit den Löhnen entwickeln. Rentner sollten so an der Wirtschaftsentwicklung teilhaben. Mit den Rentenreformgesetzen 2001 bis 2004 wurde dieser Anspruch hinsichtlich der...

This paper develops a structural dynamic retirement model to investigate effects and corresponding underlying mechanisms of a partial retirement program on labor supply, fiscal balances, and the pension income distribution. The structural approach allows for disentangling the two counteracting...

Das Lebenseinkommen wird von der Einkommenshöhe und der Zahl der Erwerbsjahre bestimmt. Erwerbsunterbrechungen, wie sie Frauen häufig aufweisen, haben so wie eine Verringerung der Arbeitszeit (Teilzeiterwerbstätigkeit) langfristige Einkommensfolgen, die in der vorliegenden Arbeit...

Die Bundestagswahl 2017 wirft ihre Schatten voraus. Das kommt auch in den unterschiedlichen Argumenten zur gesetzlichen Rentenversicherung zum Ausdruck, die die Vertreter der verschiedenen Parteien und Interessengruppen derzeit in den Medien vortragen. Jochen Pimpertz hat drei aktuelle Fragen...

Old-age poverty is to become one of the most pressing issues in the coming decades given the demographic trends forecasted. Particularly in developing countries this could be an obstacle to inclusive and sustainable growth as well as the fight against all forms of poverty (SDG 1), through shocks...

Governments are responding to fiscal pressures associated with aging populations by increasing the eligibility age for publicly-funded retirement benefits. However, recent studies show large resulting increases in the receipt of alternative payments, which raises concern that welfare savings are...

A Danish tax reform, decided in May 2009 and taking effect from the beginning of 2010, lowered the marginal tax rate on top bracket taxable income from 63% to 56%. Because contributions to pension accounts are tax deductible, the reform provided an incentive to increase pension contributions...

How can retirement savings be increased? We explore a unique policy change in the context of the German pension system to study this question. As of 2004, the German pension authority started to send out annual letters providing detailed and comprehensible information about the pension system...

This paper analyses the distributional effects of the Polish old-age pension reform introduced in 1999. Following a benchmark Mincer earnings equation, and using a newly developed microsimulation model we project future pension benefits for males born in years 1969–1979. We find that...

Background: The pension deficit has been rapidly enlarging for more than a decade. If the retirement age is set at a low level, it might trigger a pensions crisis. Since the average life span of the Chinese has extended from 71 to 76 years old in last ten years, the feasibility of rising the...

The theme of this dissertation is to investigate how financial risks can be allocated in a multi-agent and multi-period setting under the economic principle of “Pareto efficiency and financial fairness” (PEFF). The dissertation is a combination of theory and practice and consists of three...

Governments are responding to fiscal pressures associated with aging populations by increasing the eligibility age for publicly-funded retirement benefits. However, recent studies show large resulting increases in the receipt of alternative payments, which raises concern that welfare savings are...