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Pension economics /

With the design of the pension system critically dependent on objectives and context, and many objectives and trade-offs to consider, real-world pension schemes are complex and rich in institutional detail. Ongoing demographic changes also challenge pension systems, including their performance and o...

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Bibliographic Details
Main Author: Andersen, Torben M., 1956- (Author)
Format: eBook
Language:English
Published: Oxford ; New York, NY : Oxford University Press, [2025]
Subjects:
Old age pensions.
Pension trusts > Economic aspects.
Pensions de vieillesse.
Money & Monetary Policy.
BUSINESS & ECONOMICS.
Economics.
Social Services & Welfare.
Public Policy.
POLITICAL SCIENCE.
Old age pensions
Pension trusts > Economic aspects
Electronic books.
Online Access:Connect to the full text of this electronic book
Table of Contents:
  • Cover
  • Title page
  • Copyright page
  • Preface
  • Contents
  • List of Figures
  • List of Tables
  • 1 Introduction
  • 1.1 A brief historical perspective
  • 1.2 Pension systems
  • 1.3 Stylized facts on pensions and demographics
  • 1.4 This book
  • 2 The Overlapping Generations Model and Pensions
  • 2.1 The two-period OLG model
  • 2.1.1 Golden rule and dynamic (in)efficiency
  • 2.2 PAYG pension schemes
  • 2.2.1 The inaugural generation
  • 2.2.2 Steady-state welfare
  • 2.2.3 Crowding out and borrowing constraints
  • 2.2.4 Productivity growth
  • 2.3 Pensions and labour supply
  • 2.4 Phasing out of PAYG pensions
  • 3 Distribution
  • 3.1 Distribution and PAYG pensions
  • 3.2 Means tested pensions
  • 3.2.1 Optimal mean tested pensions-incentives and redistribution
  • 3.3 Mandatory pension saving
  • 4 Behavioural Decision-making and Financial Literacy
  • 4.1 Present bias and retirement saving
  • 4.1.1 Non-standard preferences
  • 4.1.2 Myopia
  • 4.1.3 Quasi-hyperbolic preferences
  • 4.1.4 Self-control
  • 4.2 Undersavings and pension schemes
  • 4.2.1 PAYG pensions
  • 4.2.2 Funded pensions
  • 4.3 Financial literacy
  • 5 Savings and Pensions in the Presence of Risk
  • 5.1 Savings and risk
  • 5.1.1 Health risks
  • 5.1.2 Financial risks
  • 5.2 Risk diversification of income shocks in PAYG schemes
  • 5.2.1 Idiosyncratic income shocks
  • 5.2.2 Aggregate income shocks
  • 5.3 Means testing-insurance and incentives
  • 5.4 Risk diversification in funded schemes
  • 6 Mortality Risk
  • 6.1 Life annuities and insurance
  • 6.2 Pension savings and annuitization
  • 6.2.1 Survival uncertainty and savings decisions
  • 6.2.2 Bequests
  • 6.2.3 Aggregate mortality risk
  • 6.3 Imperfections in annuities markets
  • 6.3.1 Simple annuities
  • 6.3.2 Adverse selection
  • 6.3.3 Moral hazard
  • 6.3.4 PAYG pensions-implicit annuities
  • 6.4 Mandated savings, annuitization, and regressive bias
  • 6.4.1 Expectations and behavioural aspects
  • 6.5 Individual and social values of annuitization
  • 7 Retirement
  • 7.1 Voluntary retirement decisions
  • 7.2 Retirement and pensions
  • 7.2.1 PAYG pensions
  • 7.2.2 Statutory retirement age
  • 7.2.3 Borrowing constraints
  • 7.3 Intergenerational distribution-Longevity
  • 7.4 Intragenerational distribution-morbidity and mortality
  • 7.4.1 Morbidity
  • 7.4.2 Mortality
  • 8 Taxation of Retirement Savings
  • 8.1 Taxation regimes for pension savings
  • 8.2 Capital income taxation
  • 8.2.1 Complete information-taxes implementing the Golden Rule allocation
  • 8.2.2 Incomplete information-a welfare case for taxation of capital income
  • 8.2.3 Differences between two-period and overlapping generations models
  • 8.3 Undersavings and savings subsidies
  • 9 Macro Implications of Demographic Changes and Policy Interdependencies
  • 9.1 Market returns and demographics
  • 9.2 Demographics and endogenous growth
  • 9.3 International interdependencies
  • 10 Demographics and Sustainability of Pension Schemes