Economics at your fingertips  

What can China Expect from an Increase of the Mandatory Retirement Age?

Peter Stauvermann () and Jin Hu ()
Additional contact information
Peter Stauvermann: Changwon National University, School of Global Business & Economics
Jin Hu: Changwon National University, School of Global Business & Economics

Annals of Economics and Finance, 2018, vol. 19, issue 1, 229-246

Abstract: Because of an aging population, China is expected to raise the mandatory retirement age in order to mitigate the pressure on its pension system. Using an Overlapping Generations model we analyze the economic impacts resulting from an increase of the life expectancy and an increased retirement age on the pension system. The results show that it is ambiguous if an increasing retirement age will cause an increase or decrease of the pension benefits. We show that, the higher the share of capital income, the more probable it becomes that an increase of retirement age will exacerbate China's pension problems.

Keywords: China; OLG model; PAYG pension system; Fertility; Mandatory retirement age (search for similar items in EconPapers)
JEL-codes: D10 E62 H23 H55 J13 O15 O41 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link) (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:

Access Statistics for this article

Annals of Economics and Finance is currently edited by Heng-fu Zou

More articles in Annals of Economics and Finance from Society for AEF Contact information at EDIRC.
Bibliographic data for series maintained by Qiang Gao ().

Page updated 2019-05-25
Handle: RePEc:cuf:journl:y:2018:v:19:i:1:stauvermann:hu