Aging, Social Security Design, and Capital Accumulation
This paper analyzes the impact of aging on capital accumulation and welfare in a country with a sizable unfunded social security system. Using a two-period overlapping generation model with endogenous retirement decisions, the paper shows that the...
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World Bank, Washington, DC
2015
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Online Access: | http://documents.worldbank.org/curated/en/2015/09/25076835/aging-social-security-design-capital-accumulation http://hdl.handle.net/10986/22840 |
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okr-10986-228402021-04-23T14:04:11Z Aging, Social Security Design, and Capital Accumulation Dedry, Antoine Onder, Harun Pestieau, Pierre DEFINED CONTRIBUTIONS CAPITAL MARKETS ECONOMIC GROWTH PRODUCTION CAPITAL ACCUMULATION UNFUNDED PENSIONS OLD AGE RETIREMENT MORTALITY DECLINE INCOME INTEREST CAPITAL ACCUMULATIONS MANDATORY RETIREMENT PENSION SYSTEMS EXCHANGE EQUILIBRIUM VALUE UTILITY MAXIMIZATION INCOME GROUP LABOR FORCE PENSION CONTRIBUTION DEVELOPING COUNTRIES DEMOGRAPHIC FACTORS WELFARE ECONOMIC IMPLICATIONS EFFECTS INCENTIVES EQUILIBRIUM POLICY DISCUSSIONS RETIREMENT SYSTEM FACTORS OF PRODUCTION MARGINAL PRODUCTIVITY CAPITAL STOCK TAX LABOR FORCE PARTICIPATION PENSION SYSTEM REAL WAGES WEALTH SAVING EARLY RETIREMENT OLD-AGE PENSION RETIREMENT AGES LIFE EXPECTANCY LABOR MARKET SAVINGS RATE OF POPULATION GROWTH DEVELOPMENT ECONOMICS POPULATION GROWTH FERTILITY RATES INCOME INEQUALITY BABY RETIREMENT AGE PRODUCTIVITY MIGRATION CRITERIA MARKETS OVERLAPPING GENERATIONS MODEL ORGANIZATIONS SOCIAL SECURITY ECONOMICS LITERATURE DEPENDENCY RATIO LABOR UTILITY MORTALITY STATIC EQUILIBRIUM ELDERLY TAXES RESPECT PROGRESS DEFINED BENEFIT DEMOGRAPHIC TRANSITION CONSUMPTION HUMAN CAPITAL YOUNG AGE SOCIAL SECURITY SYSTEMS CAPITAL WAGES POLICIES ANNUITIES FUTURE POLICY RESEARCH WORKING PAPER VALUE PENSIONS CONTRIBUTION RATE MACROECONOMICS DEMOGRAPHIC CHANGE ENVIRONMENTAL CONCERNS UTILITY FUNCTION SHARE OF CAPITAL SHARES EQUILIBRIUM VALUES ELDERLY PEOPLE ECONOMICS POLICY PRODUCTION FUNCTION OUTPUT MANAGEMENT FUNCTIONAL FORMS DEMOGRAPHIC CHANGES THEORY CONTRIBUTION SYSTEM SECURITY WARS ANNUITY INVESTMENT WORLD POPULATION SHARE NUMBER OF CHILDREN LOWER FERTILITY FUNDED PENSIONS POPULATION SOCIAL SECURITY SYSTEM RETIREMENT DECISIONS PENSION COVERAGE POLICY RESEARCH FERTILITY DEMOGRAPHIC HEALTHY LIFE CAPITAL INVESTMENT RETIREMENT INCENTIVES OUTCOMES DECLINE IN FERTILITY RETIREMENT SYSTEMS DEFINED BENEFITS LEVEL OF FERTILITY DEVELOPMENT POLICY BOOM GENERATIONS FUTURE RESEARCH This paper analyzes the impact of aging on capital accumulation and welfare in a country with a sizable unfunded social security system. Using a two-period overlapping generation model with endogenous retirement decisions, the paper shows that the type of aging and the type of unfunded social security system are important in understanding this impact. The analysis compares two types of demographic changes, declining fertility and increasing longevity; three types of pensions, defined contributions, defined benefits, and defined annuities; as well as mandatory and optimal retirement systems to investigate the differences in implications of aging. 2015-11-04T21:33:11Z 2015-11-04T21:33:11Z 2015-09 Working Paper http://documents.worldbank.org/curated/en/2015/09/25076835/aging-social-security-design-capital-accumulation http://hdl.handle.net/10986/22840 English en_US Policy Research working paper,no. WPS 7418; Policy Research Working Paper;No. 7418 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research |
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Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English en_US |
topic |
DEFINED CONTRIBUTIONS CAPITAL MARKETS ECONOMIC GROWTH PRODUCTION CAPITAL ACCUMULATION UNFUNDED PENSIONS OLD AGE RETIREMENT MORTALITY DECLINE INCOME INTEREST CAPITAL ACCUMULATIONS MANDATORY RETIREMENT PENSION SYSTEMS EXCHANGE EQUILIBRIUM VALUE UTILITY MAXIMIZATION INCOME GROUP LABOR FORCE PENSION CONTRIBUTION DEVELOPING COUNTRIES DEMOGRAPHIC FACTORS WELFARE ECONOMIC IMPLICATIONS EFFECTS INCENTIVES EQUILIBRIUM POLICY DISCUSSIONS RETIREMENT SYSTEM FACTORS OF PRODUCTION MARGINAL PRODUCTIVITY CAPITAL STOCK TAX LABOR FORCE PARTICIPATION PENSION SYSTEM REAL WAGES WEALTH SAVING EARLY RETIREMENT OLD-AGE PENSION RETIREMENT AGES LIFE EXPECTANCY LABOR MARKET SAVINGS RATE OF POPULATION GROWTH DEVELOPMENT ECONOMICS POPULATION GROWTH FERTILITY RATES INCOME INEQUALITY BABY RETIREMENT AGE PRODUCTIVITY MIGRATION CRITERIA MARKETS OVERLAPPING GENERATIONS MODEL ORGANIZATIONS SOCIAL SECURITY ECONOMICS LITERATURE DEPENDENCY RATIO LABOR UTILITY MORTALITY STATIC EQUILIBRIUM ELDERLY TAXES RESPECT PROGRESS DEFINED BENEFIT DEMOGRAPHIC TRANSITION CONSUMPTION HUMAN CAPITAL YOUNG AGE SOCIAL SECURITY SYSTEMS CAPITAL WAGES POLICIES ANNUITIES FUTURE POLICY RESEARCH WORKING PAPER VALUE PENSIONS CONTRIBUTION RATE MACROECONOMICS DEMOGRAPHIC CHANGE ENVIRONMENTAL CONCERNS UTILITY FUNCTION SHARE OF CAPITAL SHARES EQUILIBRIUM VALUES ELDERLY PEOPLE ECONOMICS POLICY PRODUCTION FUNCTION OUTPUT MANAGEMENT FUNCTIONAL FORMS DEMOGRAPHIC CHANGES THEORY CONTRIBUTION SYSTEM SECURITY WARS ANNUITY INVESTMENT WORLD POPULATION SHARE NUMBER OF CHILDREN LOWER FERTILITY FUNDED PENSIONS POPULATION SOCIAL SECURITY SYSTEM RETIREMENT DECISIONS PENSION COVERAGE POLICY RESEARCH FERTILITY DEMOGRAPHIC HEALTHY LIFE CAPITAL INVESTMENT RETIREMENT INCENTIVES OUTCOMES DECLINE IN FERTILITY RETIREMENT SYSTEMS DEFINED BENEFITS LEVEL OF FERTILITY DEVELOPMENT POLICY BOOM GENERATIONS FUTURE RESEARCH |
spellingShingle |
DEFINED CONTRIBUTIONS CAPITAL MARKETS ECONOMIC GROWTH PRODUCTION CAPITAL ACCUMULATION UNFUNDED PENSIONS OLD AGE RETIREMENT MORTALITY DECLINE INCOME INTEREST CAPITAL ACCUMULATIONS MANDATORY RETIREMENT PENSION SYSTEMS EXCHANGE EQUILIBRIUM VALUE UTILITY MAXIMIZATION INCOME GROUP LABOR FORCE PENSION CONTRIBUTION DEVELOPING COUNTRIES DEMOGRAPHIC FACTORS WELFARE ECONOMIC IMPLICATIONS EFFECTS INCENTIVES EQUILIBRIUM POLICY DISCUSSIONS RETIREMENT SYSTEM FACTORS OF PRODUCTION MARGINAL PRODUCTIVITY CAPITAL STOCK TAX LABOR FORCE PARTICIPATION PENSION SYSTEM REAL WAGES WEALTH SAVING EARLY RETIREMENT OLD-AGE PENSION RETIREMENT AGES LIFE EXPECTANCY LABOR MARKET SAVINGS RATE OF POPULATION GROWTH DEVELOPMENT ECONOMICS POPULATION GROWTH FERTILITY RATES INCOME INEQUALITY BABY RETIREMENT AGE PRODUCTIVITY MIGRATION CRITERIA MARKETS OVERLAPPING GENERATIONS MODEL ORGANIZATIONS SOCIAL SECURITY ECONOMICS LITERATURE DEPENDENCY RATIO LABOR UTILITY MORTALITY STATIC EQUILIBRIUM ELDERLY TAXES RESPECT PROGRESS DEFINED BENEFIT DEMOGRAPHIC TRANSITION CONSUMPTION HUMAN CAPITAL YOUNG AGE SOCIAL SECURITY SYSTEMS CAPITAL WAGES POLICIES ANNUITIES FUTURE POLICY RESEARCH WORKING PAPER VALUE PENSIONS CONTRIBUTION RATE MACROECONOMICS DEMOGRAPHIC CHANGE ENVIRONMENTAL CONCERNS UTILITY FUNCTION SHARE OF CAPITAL SHARES EQUILIBRIUM VALUES ELDERLY PEOPLE ECONOMICS POLICY PRODUCTION FUNCTION OUTPUT MANAGEMENT FUNCTIONAL FORMS DEMOGRAPHIC CHANGES THEORY CONTRIBUTION SYSTEM SECURITY WARS ANNUITY INVESTMENT WORLD POPULATION SHARE NUMBER OF CHILDREN LOWER FERTILITY FUNDED PENSIONS POPULATION SOCIAL SECURITY SYSTEM RETIREMENT DECISIONS PENSION COVERAGE POLICY RESEARCH FERTILITY DEMOGRAPHIC HEALTHY LIFE CAPITAL INVESTMENT RETIREMENT INCENTIVES OUTCOMES DECLINE IN FERTILITY RETIREMENT SYSTEMS DEFINED BENEFITS LEVEL OF FERTILITY DEVELOPMENT POLICY BOOM GENERATIONS FUTURE RESEARCH Dedry, Antoine Onder, Harun Pestieau, Pierre Aging, Social Security Design, and Capital Accumulation |
relation |
Policy Research working paper,no. WPS 7418; |
description |
This paper analyzes the impact of aging
on capital accumulation and welfare in a country with a
sizable unfunded social security system. Using a two-period
overlapping generation model with endogenous retirement
decisions, the paper shows that the type of aging and the
type of unfunded social security system are important in
understanding this impact. The analysis compares two types
of demographic changes, declining fertility and increasing
longevity; three types of pensions, defined contributions,
defined benefits, and defined annuities; as well as
mandatory and optimal retirement systems to investigate the
differences in implications of aging. |
format |
Working Paper |
author |
Dedry, Antoine Onder, Harun Pestieau, Pierre |
author_facet |
Dedry, Antoine Onder, Harun Pestieau, Pierre |
author_sort |
Dedry, Antoine |
title |
Aging, Social Security Design, and Capital Accumulation |
title_short |
Aging, Social Security Design, and Capital Accumulation |
title_full |
Aging, Social Security Design, and Capital Accumulation |
title_fullStr |
Aging, Social Security Design, and Capital Accumulation |
title_full_unstemmed |
Aging, Social Security Design, and Capital Accumulation |
title_sort |
aging, social security design, and capital accumulation |
publisher |
World Bank, Washington, DC |
publishDate |
2015 |
url |
http://documents.worldbank.org/curated/en/2015/09/25076835/aging-social-security-design-capital-accumulation http://hdl.handle.net/10986/22840 |
_version_ |
1764452198915244032 |