IDEAS home Printed from https://ideas.repec.org/a/nos/voprec/y2010id1012.html
   My bibliography  Save this article

The Transition from Distributive Pension System to Accumulative Type: The Results and Efficiency Forecast

Author

Listed:
  • O. Dmitrieva
  • N. Petukhova
  • D. Ushakov

Abstract

The paper presents comparative analysis of two models of pension system: accumulative and distributive (pay-as-you-go) ones based on Russian and world experience. It is shown that "the effect of dual burden" is formed within the transition period which lasts about 50 years and will reach its maximum in 22 years after the start of the reform. Under Russian conditions returns on pension capital fail to compensate for inflation and they are significantly lower than indexation of distributive pensions and wages growth rates. The model simulations have provided the following results: given the length of accumulation for 40 years; the longevity period - 19 years; employees-retirees ratio is going down, the accumulative pension system is likely to be more effective than the distributive one if returns on pension capital are not less than GDP growth rates and operational costs of the accumulative system are equal to zero. Otherwise the distributive pension system is more preferable.

Suggested Citation

  • O. Dmitrieva & N. Petukhova & D. Ushakov, 2010. "The Transition from Distributive Pension System to Accumulative Type: The Results and Efficiency Forecast," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 4.
    • Handle: RePEc:nos:voprec:y:2010:id:1012
    DOI: 10.32609/0042-8736-2010-4-43-60
    as

    Download full text from publisher

    File URL: https://www.vopreco.ru/jour/article/viewFile/1012/1013
    Download Restriction: no
    File URL: https://libkey.io/10.32609/0042-8736-2010-4-43-60?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nos:voprec:y:2010:id:1012. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: NEICON (email available below). General contact details of provider: https://www.vopreco.ru .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.