The Incentive Effects of Minimum Pensions: extended version

Sergi Jimenez-Martin

No 2014-04, Working Papers from FEDEA

Abstract: The minimum pension program is one of the key welfare programs in many developing and developed countries and a key influence in retirement of low income workers or workers with intermittent working careers. The main purpose of minimum benefits programs is to guarantee a minimum standard of living after retirement. In general minimum contributory pensions that are only made available after the normal retirement age have little (but size- able) incentives effect in at least low incomer workers. Alternatively minimum contributory benefits made available at the early retirement age can generate substantial incentive effects on transitions to retirement of employed and unemployed workers. The importance of this effect critically depends upon both the eligibility conditions and the generosity of the mini- mum pension, that is, in the relationship between the guaranteed minimum pension and the average or the minimum wage.

Date: 2014-05
New Economics Papers: this item is included in nep-age and nep-lab
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://documentos.fedea.net/pubs/dt/2014/dt-2014-04.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:fda:fdaddt:2014-04

Access Statistics for this paper

More papers in Working Papers from FEDEA
Bibliographic data for series maintained by Carmen Arias ().