The Political Economy of Public Pensions: Pension Funding, Governance, and Fiscal Stress

Ping-Lung Hsin () and Olivia Mitchell
Additional contact information
Ping-Lung Hsin: Adjunct Associate Professor, Institute for Labor Research, National Chengchi University.

Revista de Analisis Economico – Economic Analysis Review, 1994, vol. 9, issue 1, 151-168

Abstract: The purpose of this paper is to describe and evaluate how public sector defined benefit pension plans are managed, and to assess possible implications of different pension management styles for promised pension benefits. The authors explore the actuarial and economic assumptions employed by public pension managers when they set funding targets, using a new survey of state and local pension plans in the United States. The analysis shows that key assumptions under the control of public pension plan trustees are sensitive to factors in the pension environment. An implication of the paper is that public pension funding patterns may become more sensitive to strategic selection of interest role and other key assumptions as public sector budgets are subjected to fiscal pressures, and when they are managed by participant-run boards.

JEL-codes: H55 J32 (search for similar items in EconPapers)
Date: 1994
References: Add references at CitEc
Citations: View citations in EconPapers (11)

Downloads: (external link)
http://www.rae-ear.org/index.php/rae/article/view/189/343 (application/pdf)

Related works:
Working Paper: The Political Economy of Public Pensions: Pension Funding, Governance, and Fiscal Stress
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:ila:anaeco:v:9:y:1994:i:1:p:151-168

Ordering information: This journal article can be ordered from

Access Statistics for this article

Revista de Analisis Economico – Economic Analysis Review is currently edited by Carlos Ponce

More articles in Revista de Analisis Economico – Economic Analysis Review from Universidad Alberto Hurtado/School of Economics and Business Contact information at EDIRC.
Bibliographic data for series maintained by Mauricio Tejada ().