Assessing the Impact of Pensions Policy Reform in Ireland: the Case of Increasing the Pension Age

Cathal O'Donoghue

No 74, Working Papers from National University of Ireland Galway, Department of Economics

Abstract: Although demographic ageing will affect Ireland later than many EU countries, by 2050 it will result in significant pressures on the public pension system. Recent reform in Ireland has attempted to address these pressures by increasing the incentive to save for retirement and by introducing partial funding for existing Pay As You Go (PAYG) public servant and state pension schemes. Attempts have also been made to improve the poverty effectiveness of public policy instruments. Although there have been substantial policy interventions to increase the labour supply of groups such as married women, lone parents and the long-term unemployed, there has been little emphasis on increasing the labour supply of older workers. This paper uses a new dynamic microsimulation model to simulate life-course demographic and labour market histories for a cross-section of the Irish population. These simulated life-histories are then be used to simulate pension and other public policy at the micro-level for the Irish population. We use the model to assess the implications for budgetary and social policy objectives (poverty reduction and income smoothing) of raising the effective retirement age.

Keywords: Microsimulation; Fiscal Policy; Social Security; Income inequality (search for similar items in EconPapers)
JEL-codes: C81 H2 H23 H55 (search for similar items in EconPapers)
Date: 2004, Revised 2004
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.economics.nuig.ie/resrch/paper.php?pid=79 First version, 2004 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found
http://www.economics.nuig.ie/resrch/paper.php?pid=79 Revised version, 2004 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found

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:nig:wpaper:0074

Access Statistics for this paper

More papers in Working Papers from National University of Ireland Galway, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Srinivas Raghavendra ().