Intergenerational Risk Sharing, Stability and Optimality of Alternative Pension Systems

John Hassler () and Assar Lindbeck

Research Institute of Industrial Economics Working Papers from Research Institute of Industrial Economics (IFN)

Abstract: In an analysis of the risk-sharing properties of different types of pension systems, we show that only a fixed-fee pay-as-you-go (PAYG) pension systems can provide intergenerational risk sharing for living individuals. Under some circumstances, however, other PAYG pension systems can enhance the expected welfare of all generations by reducing intergenerational income variability. We derive conditions for this to occur. We also analyze the stability of actuarially fair PAYG pension systems.

Keywords: RISK; PENSION FUNDS; GENERATIONS (search for similar items in EconPapers)
JEL-codes: H5 H6 H55 (search for similar items in EconPapers)
Date: 1997
View citations in EconPapers

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Intergenerational Risk Sharing, Stability and Optimality of Alternative Pension Systems (1997)
Working Paper: Intergenerational Risk Sharing, Stability and Optimality of Alternative Pension Systems (1997)
Working Paper: Intergenerational Risk Sharing, Stability and Optimality of Alternative Pension Systems (1997)
Working Paper: Intergenerational Risk Sharing, Stability and Optimality of Alternative Pension Systems (1997)
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: http://EconPapers.repec.org/RePEc:fth:iniesr:493

Access Statistics for this paper

More papers in Research Institute of Industrial Economics Working Papers from Research Institute of Industrial Economics (IFN)
Address: Research Institute of Industrial Economics (IFN) ; B.O. Box 55665, SE-102 15 Stockholm, Sweden
Contact information at EDIRC.
Series data maintained by Thomas Krichel ().