Spain 2011 Pension Reform
AbstractThe aim of this paper is to evaluate the impact of the Spanish pension reform enacted in 2011. We use an accounting model with heterogeneous agents and overlapping generations in order to project revenues and expenditures of the pension system for the next four decades. Specifically, we analyze the impact of changes in the replacement rate, in the period of calculation and the delay of the retirement age. We obtain results under two alternative migration scenarios: (i) a combination of the latest figures released by the INE, which forecast a reduced annual immigration net flow of some 70,000 persons; and (ii) a revised scenario featuring a more generous hypothesis concerning this net flow. We demonstrate that the results show that these three changes instigated by the reform could imply a savings of about 3 percentage points of GDP in 2051. However, we couldn't include in the evaluation the sustainability factor (that transform the Spanish system in a defined contribution scheme) that will start in 2027 due to the lack of details in the text of the Reform. Finally, we analyze the changes in average pensions by gender, skill, and nationality.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by FEDEA in its series Working Papers with number 2012-03.
Date of creation: May 2012
Date of revision:
Contact details of provider:
Web page: http://www.fedea.es
This paper has been announced in the following NEP Reports:
- NEP-AGE-2012-06-13 (Economics of Ageing)
- NEP-ALL-2012-06-13 (All new papers)
- NEP-EEC-2012-06-13 (European Economics)
- NEP-LAB-2012-06-13 (Labour Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Ignacio Moral-Arce & Ció Patxot & Guadalupe Souto, 2008. "La sostenibilidad del sistema de pensiones. una aproximación a partir de la MCVL," Revista de Economia Aplicada, Universidad de Zaragoza, Departamento de Estructura Economica y Economia Publica, vol. 16(E-1), pages 29-66, Special N.
- Juan A. Rojas, .
"Life-cycle Earnings Cohort Size Effects and Social Security. A Quantitative Exploration,"
Studies on the Spanish Economy
- Rojas, Juan A., 2005. "Life-cycle earnings, cohort size effects and social security: a quantitative exploration," Journal of Public Economics, Elsevier, vol. 89(2-3), pages 465-485, February.
- Javier Alonso Meseguer & José A. Herce, . "Balance del sistema de pensiones y boom migratorio en España. Proyecciones del modelo MODPENS de FEDEA a 2050," Working Papers 2003-02, FEDEA.
- Angel de la Fuente & Rafael Domenech, 2011.
"The impact of Spanish pension reform on expenditure.A quick estimate,"
1112, BBVA Bank, Economic Research Department.
- Angel de la Fuente & Rafael Doménech, 2011. "The Impact of Spanish Pension Reform on Expenditure: a Quick Estimate," Working Papers 542, Barcelona Graduate School of Economics.
- Zinovyeva, Natalia & Bagues, Manuel F., 2011.
"Does Gender Matter for Academic Promotion? Evidence from a Randomized Natural Experiment,"
IZA Discussion Papers
5537, Institute for the Study of Labor (IZA).
- Natalia Zinovyeva & Manuel F. Bagues, 2010. "Does gender matter for academic promotion? Evidence from a randomized natural experiment," Working Papers 2010-15, FEDEA.
- Juan F. Jimeno & Juan A. Rojas & Sergio Puente, 2006.
"Modeling the impact of aging on social security expenditures,"
Banco de EspaÃÂ±a Occasional Papers
0601, Banco de EspaÃ±a.
- Jimeno, Juan F. & Rojas, Juan A. & Puente, Sergio, 2008. "Modelling the impact of aging on social security expenditures," Economic Modelling, Elsevier, vol. 25(2), pages 201-224, March.
- Clara I. Gonzalez & José Ignacio Conde Ruiz & Michele Boldrin, 2009. "Immigration and Social Security in Spain," Working Papers 2009-26, FEDEA.
- Balmaseda, Manuel & Melguizo, Angel & Taguas, David, 2006.
"Las reformas necesarias en el sistema de pensiones contributivas en España
[Reforming the Spanish contributory pension system]," MPRA Paper 19574, University Library of Munich, Germany, revised 01 Mar 2006.
Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Irse para Volver
by J. Ignacio Conde-Ruiz in Nada Es Gratis on 2012-10-25 06:00:24
- No Reformemos las Pensiones por la puerta de atrás
by J. Ignacio Conde-Ruiz in Nada Es Gratis on 2013-02-25 07:00:21
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Carmen Arias).
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.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.