Forced reduction of pension contribution rate?
Andras Simonovits ()
No 1811, IEHAS Discussion Papers from Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences
Due to various causes, the pension contribution rate can be reduced temporarily below its long-term value. We call a reduction forced if the balance of the public pension system is preserved through excessive wage-hikes and irritable relative devaluation of pensions in progress. A very simple overlapping cohorts model shows the limits of this policy and the resulting unfairness among cohorts.
Keywords: public pensions; pension contribution rate; indexation; fairness among cohorts (search for similar items in EconPapers)
JEL-codes: D10 H55 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-age
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:has:discpr:1811
Access Statistics for this paper
More papers in IEHAS Discussion Papers from Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences Contact information at EDIRC.
Bibliographic data for series maintained by Adrienn Foldi ().