IDEAS home Printed from https://ideas.repec.org/a/cup/nierev/v237y2016ipr22-r29_13.html
   My bibliography  Save this article

Linking retirement age to life expectancy in a Bismarckian system – the case of Germany

Author

Listed:
  • Vogt, Valentin
  • Althammer, Jörg

Abstract

In times of decreasing mortality, one way to stabilise a PAYG pension system is to interrelate the retirement age to the anticipated average lifespan. This paper investigates two approaches for Germany: one is to keep the average retirement duration constant, the other to define a constant share of the total lifespan for the retirement period. Our simulation model uses a Leslie matrix population projection, a Solow-Swan growth model and a detailed calculation of the German pension insurance budget. Our results show quite a significant impact on the insurance level and a rather small effect on the contribution rate, which is characteristic of a Bismarckian system.

Suggested Citation

  • Vogt, Valentin & Althammer, Jörg, 2016. "Linking retirement age to life expectancy in a Bismarckian system – the case of Germany," National Institute Economic Review, National Institute of Economic and Social Research, vol. 237, pages 22-29, August.
    • Handle: RePEc:cup:nierev:v:237:y:2016:i::p:r22-r29_13
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S0027950100003318/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    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:cup:nierev:v:237:y:2016:i::p:r22-r29_13. 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: Kirk Stebbing (email available below). General contact details of provider: https://edirc.repec.org/data/niesruk.html .

    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.