Company Pension Plans, Stock Market Returns, and Labor Demand
AbstractWith asset values falling sharply in recent years, many companies around the world are under pressure to restore the solvency of their defined-benefit pension plans. Will this lead to higher contributions? Will higher contributions increase labor costs and reduce employment? Does this mechanism exacerbate economic downturns? What are the economic effects of pension fund regulation? This paper develops a theoretical model to address these questions. Although its scope is more general, the model captures the main institutional features of the pension system in the Netherlands, a country where the economic effects of the pension shock are widely debated.
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 International Monetary Fund in its series IMF Working Papers with number 03/222.
Date of creation: 01 Nov 2003
Date of revision:
Contact details of provider:
Postal: International Monetary Fund, Washington, DC USA
Phone: (202) 623-7000
Fax: (202) 623-4661
Web page: http://www.imf.org/external/pubind.htm
More information through EDIRC
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.:
- Gustman, A.L. & Mitchell, O.S. & Steinmeier, T.L., 1993.
"The Role of Pensions in the Labor Market,"
93-07, Cornell - Center for Advanced Human Resource Studies.
- Jeroen J. M. Kremers, 2002. "Pension Reform: Issues in the Netherlands," NBER Chapters, in: Social Security Pension Reform in Europe, pages 291-316 National Bureau of Economic Research, Inc.
- Julia Lynn Coronado & Steven A. Sharpe, 2003.
"Did Pension Plan Accounting Contribute to a Stock Market Bubble?,"
Brookings Papers on Economic Activity,
Economic Studies Program, The Brookings Institution, vol. 34(1), pages 323-371.
- Julia Lynn Coronado & Steven A. Sharpe, 2003. "Did pension plan accounting contribute to a stock market bubble?," Finance and Economics Discussion Series 2003-38, Board of Governors of the Federal Reserve System (U.S.).
- Bodie, Zvi, 1990.
"Pensions as Retirement Income Insurance,"
Journal of Economic Literature,
American Economic Association, vol. 28(1), pages 28-49, March.
- David Carey, 2002. "Coping with Population Ageing in the Netherlands," OECD Economics Department Working Papers 325, OECD Publishing.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jim Beardow) or (Hassan Zaidi).
If references are entirely missing, you can add them using this form.