The Crisis of Germany's Pension Insurance System and How It Can Be Resolved
AbstractThe paper discusses the options for a reform of the German pension system using a model developed at CES for the German Council of economic advisors to the Federal Ministry of Economics and Research. It is argued that the German pay-as-you-go-system is efficient in a present value sense but will nevertheless need the support of a funded system to avoid a financial crisis. The paper investigates the possibility of introducing obligatory private savings at a variable rate where the time path of the savings rate is chosen so as to stabilize the sum of this rate and the pay-as-you-go contribution rate, given the time path of pensions as defined in the present system.
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Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 7304.
Date of creation: Aug 1999
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Other versions of this item:
- Sinn, Hans-Werner, 1999. "The Crisis of Germany's Pension Insurance System and How It Can Be Resolved," CEPR Discussion Papers 2175, C.E.P.R. Discussion Papers.
- Hans-Werner Sinn, 1999. "The Crisis of Germany's Pension Insurance system and How it Can be Resolved," CESifo Working Paper Series 191, CESifo Group Munich.
- H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
This paper has been announced in the following NEP Reports:
- NEP-ALL-1999-09-17 (All new papers)
- NEP-EEC-1999-09-17 (European Economics)
- NEP-IAS-1999-09-17 (Insurance Economics)
- NEP-PUB-1999-09-17 (Public Finance)
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.:
- Sinn, Hans-Werner, 1998.
"The Pay-As You-Go Pension System as a Fertility Insurance and Enforcement Device,"
CEPR Discussion Papers
2023, C.E.P.R. Discussion Papers.
- Hans-Werner Sinn, 1998. "The Pay-As-You-Go Pension System as a Fertility Insurance and Enforcement Device," NBER Working Papers 6610, National Bureau of Economic Research, Inc.
- Feldstein, Martin & Liebman, Jeffrey B., 2002.
Handbook of Public Economics,
in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 4, chapter 32, pages 2245-2324
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NBER Working Papers
6229, National Bureau of Economic Research, Inc.
- Sinn, Hans-Werner, 1997. "The Value of Children and Immigrants in a Pay-As-You-Go Pension System: A Proposal For a Partial Transition to a Funded System," CEPR Discussion Papers 1734, C.E.P.R. Discussion Papers.
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"Pension Reform, Capital Markets and the Rate of Return,"
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- Börsch-Supan, Axel & Heiß, Florian & Winter, Joachim, 2000. "Pension reform, capital markets, and the rate of return," Discussion Papers 589, Institut fuer Volkswirtschaftslehre und Statistik, Abteilung fuer Volkswirtschaftslehre.
- Kai A. Konrad & Gert Wagner, 2000. "Reform of the Public Pension System in Germany," Discussion Papers of DIW Berlin 200, DIW Berlin, German Institute for Economic Research.
- Luís Eduardo Afonso & Reynaldo Fernandes, 2003. "Uma Estimativa dos Aspectos Distributivos da Previdência Social no Brasil," Anais do XXXI Encontro Nacional de Economia [Proceedings of the 31th Brazilian Economics Meeting] f15, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
- Weller, Christian E., 2001. "Programs without alternative: Public pensions in the OECD," ZEI Working Papers B 15-2001, ZEI - Center for European Integration Studies, University of Bonn.
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