A. Cigno and M. Werding
London: MIT Press, 2007
The rapidly aging populations of many developed countries, most notably Japan and member countries of the European Union, present obvious problems for the public pension plans of these countries. Not only will there be disproportionately fewer workers making pension contributions than there are retirees drawing pension benefits, but the youth-to-age imbalance will significantly affect the total contributive capacity of future generations and hence their total income growth. The book examines the way pension policy and child-related benefits affect fertility behaviour and productivity growth. It presents theoretical arguments to the effect that public pension coverage as such will reduce aggregate fertility and may raise aggregate household savings. It also argues that public pensions, as they are currently designed, discourage parents from private human capital investment in their children to improve the children's future earning capacity.
After an overview of pension and child benefit policies (focusing on the European Union, Japan, and the United States), it offers an empirical and theoretical analysis and a simulation of the effects of the policies under discussion. It also includes an innovative suggestion that relates a person's pension entitlements to his or her number of children and the children's earning ability, proposing that a person's pension could be financed in part or in full by the pensioner's own children.
J. Hawkins, & D. Klauke
Life & Pensions Jan. 2008 p. 31-34
Voluntary funding by plan sponsors using contractual trust arrangements (CTAs) has become a feature of the German pension market. This article looks at common reasons for using CTAs and finds many of them do not stand up to scrutiny.
International Social Security Review, vol. 61, Jan.-Mar, 2008, p. 61-77
The paper suggests that policymakers need to keep the following principles in mind when designing a state pension system:
P. Frericks, R. Maier and W. de Graaf
European Societies, vol.10, 2008, p. 97-119
In most European countries, the pensions system is based on compulsory contributions to an insurance scheme by workers in paid employment. Life-long, full-time employment is required to build up entitlement to a full pension. This system disadvantages women, especially mothers, who take career breaks or work part-time in order to care for children and elderly relatives. France and Germany have introduced child care credits to help women build up better pension entitlements. This article compares the two schemes.