@techreport{f31f8951811640198a40726ab63c766d,
title = "Ageing and Pension Reform in a Small Open Economy: The Role of Savings Incentives",
abstract = "In this paper we analyse the effects of ageing in a small open economy with a representative government. More specific, we adress the question whether in case of ageing a transition from an unfunded to a more funded pension scheme is politically feasible. We show that the existence of a suitable subsidy on savings is crucial in this respect. Without a subsidy on savings, the economy is trapped at the preexisting level of saving and ageing leads to an increase of the PAYG tax. However, if a subsidy exists which is linked to the tax rate in a non-linear way a conversion from PAYG to funded pensions is politically feasible.",
keywords = "ageing, overlapping generations, pensions",
author = "T. Leers and A.C. Meijdam and H.A.A. Verbon",
note = "Pagination: 18",
year = "1998",
language = "English",
volume = "1998-90",
series = "CentER Discussion Paper",
publisher = "Macroeconomics",
type = "WorkingPaper",
institution = "Macroeconomics",
}