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Eliciting Individual Preferences for Pension Reform

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  • Yosr Abid Fourati
  • Cathal O'Donoghue

Abstract

Pension systems have recently been under scrutiny because of the expected population ageing threatening its sustainability. This paper’s contribution to the debate is from a political economic perspective as it uses data from a Choice Experiment to investigate individual preferences for an alternative state pension scheme. Answers are used to estimate a life-cycle utility model of preferences towards pensions’ parameters. Results suggest that individuals’ value orientation is an important determinant of their preferences. Respondents’ income determines which degree of redistribution is preferred. However, preferences according to age are in contradiction with what is suggested in theory.

Suggested Citation

  • Yosr Abid Fourati & Cathal O'Donoghue, 2009. "Eliciting Individual Preferences for Pension Reform," CESifo Working Paper Series 2770, CESifo.
    • Handle: RePEc:ces:ceswps:_2770
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    Cited by:

    1. Pfarr Christian & Ulrich Volker, 2011. "Discrete-Choice-Experimente zur Ermittlung der Präferenzen für Umverteilung," Review of Economics, De Gruyter, vol. 62(3), pages 232-262, December.

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    More about this item

    Keywords

    population ageing; pension system reform; redistribution; stated preferences;
    All these keywords.

    JEL classification:

    • H00 - Public Economics - - General - - - General
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General

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