Lans Bovenberg, Casper van Ewijk, Ed Westerhout, "The Future of Multi-Pillar Pensions"
English | ISBN: 1107022266, 1107481120 | 2012 | 434 pages | PDF | 2 MB
Pension systems are under serious pressure worldwide. This pressure stems not only from the well-known trend of population ageing, but also from those of increasing heterogeneity of the population & increasing labour mobility. The current economic crisis has aggravated these problems, thereby exposing the vulnerability of many pension schemes to macroeconomic shocks. This book reconsiders the multi-pillar pension scheme against the background of these pressures. It adopts an integral perspective & asks how the pension system as a whole contributes to the three basic functions of pension schemes: facilitating life-cycle financial planning, insuring idiosyncratic risks & sharing macroeconomic risks across generations. It focuses on the optimal balance between the various pension pillars & on the optimal design of each of the schemes. It sketches a number of economic trade-offs, showing that countries may opt for different pension schemes depending on how they react to these trade-offs.