The Evolution of Public Pension Schemes /

The purpose of this book is to describe and to give a theoretical explanation of the developments of Pay-As-You-Go (PAYG)-financed public pension schemes in democracies from a positive point of view. The book especially tries to grasp the determinants for changes in PAYG-systems. It is shown that if...

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Bibliographic Details
Main Author: Verbon, Harrie
Corporate Author: SpringerLink (Online service)
Format: eBook
Language:English
Published: Berlin, Heidelberg : Springer Berlin Heidelberg, 1988.
Series:Microeconomic studies.
Subjects:
Online Access:Connect to the full text of this electronic book
Description
Summary:The purpose of this book is to describe and to give a theoretical explanation of the developments of Pay-As-You-Go (PAYG)-financed public pension schemes in democracies from a positive point of view. The book especially tries to grasp the determinants for changes in PAYG-systems. It is shown that if confidence in the continuation of an operative public pension scheme is growing, the conversion from a Capital-Reserve to the PAYG system - which has occurred in the history of most schemes - can be explained out of the self-interest of the generations alive. On the other hand, if a PAYG-system has been operating for a long enough period, then the operation of the system can be explained from altruism just as well. The analysis gives insights into the determinants of the future evolution of PAYG-systems. If the current financial crisis perseveres, the PAYG-scheme will not necessarily be maintained indefinitely. This statement holds even if future young generations are altruistic towards the old and even if the old are in the majority in a representative democracy.
Item Description:Electronic resource.
Physical Description:1 online resource (xii, 287 pages)
ISBN:9783642456534 (electronic bk.)
3642456537 (electronic bk.)
ISSN:1431-6005