Abstract
| Original language | English |
|---|---|
| Place of Publication | Tilburg |
| Publisher | Macroeconomics |
| Number of pages | 16 |
| Volume | 2002-24 |
| Publication status | Published - 2002 |
Publication series
| Name | CentER Discussion Paper |
|---|---|
| Volume | 2002-24 |
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Keywords
- social security
- pensions
- privatization
- overlapping generations
Cite this
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General-Equilibrium Effects of Privatisation : The Missing Piece in Social Security Reform. / van Groezen, B.J.A.M.; Meijdam, A.C.; Verbon, H.A.A.
Tilburg : Macroeconomics, 2002. (CentER Discussion Paper; Vol. 2002-24).Research output: Working paper › Discussion paper › Other research output
TY - UNPB
T1 - General-Equilibrium Effects of Privatisation
T2 - The Missing Piece in Social Security Reform
AU - van Groezen, B.J.A.M.
AU - Meijdam, A.C.
AU - Verbon, H.A.A.
N1 - Subsequently published in Scottish Journal of Political Economy, 2007 (rt) Pagination: 16
PY - 2002
Y1 - 2002
N2 - This paper analyses the effects of reducing unfunded social security in a closed economy that consists of a service sector and a commodity sector.It is shown that if old agents mainly demand labour intensive services, a modest decrease of the pay-as-you-go pension scheme still raises long-run utility as long as the economy is dynamically efficient.However, entirely privatising the social security system will sooner lead to dynamic inefficiency than in the conventional one-sector model, leading to a different conclusion about the desirability of unfunded pensions.
AB - This paper analyses the effects of reducing unfunded social security in a closed economy that consists of a service sector and a commodity sector.It is shown that if old agents mainly demand labour intensive services, a modest decrease of the pay-as-you-go pension scheme still raises long-run utility as long as the economy is dynamically efficient.However, entirely privatising the social security system will sooner lead to dynamic inefficiency than in the conventional one-sector model, leading to a different conclusion about the desirability of unfunded pensions.
KW - social security
KW - pensions
KW - privatization
KW - overlapping generations
M3 - Discussion paper
VL - 2002-24
T3 - CentER Discussion Paper
BT - General-Equilibrium Effects of Privatisation
PB - Macroeconomics
CY - Tilburg
ER -