IDEAS home Printed from https://ideas.repec.org/p/ice/wpaper/wp06.html
   My bibliography  Save this paper

Prospects of Icelandic pension funds

Author

Listed:
  • Guðmundur Guðmundsson

Abstract

The Icelandic pension system is so designed that the bulk of old age pensions, disability compensations and support for children when parents die will be provided by savings funds. Private sector funds collect fixed contributions but benefits depend upon the financial position of the respective fund. In the funds for public sector employees the benefits are predetermined and premiums of members fixed, but the contributions from the employer are adjusted to actuarial requirements of the funds. Benefits or premiums are sensitive to retirement age and long term development of interest rates and productivity growth. The total assets of the funds are now about 450 billion kr. or 71% of GDP and will eventually reach a size of the order of one and a half to twice the value of annual GDP.

Suggested Citation

  • Guðmundur Guðmundsson, 2000. "Prospects of Icelandic pension funds," Economics wp06, Department of Economics, Central bank of Iceland.
    • Handle: RePEc:ice:wpaper:wp06
    as

    Download full text from publisher

    File URL: http://www.sedlabanki.is/uploads/files/wp6.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chadha, Jagjit S & Dimsdale, Nicholas H, 1999. "A Long View of Real Rates," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 15(2), pages 17-45, Summer.
    2. Espen Bratberg, 1999. "Disability Retirement in a Welfare State," Scandinavian Journal of Economics, Wiley Blackwell, vol. 101(1), pages 97-114, March.
    3. Koustas, Zisimos & Serletis, Apostolos, 1999. "On the Fisher effect," Journal of Monetary Economics, Elsevier, vol. 44(1), pages 105-130, August.
    4. Manfred Koch & Christian Thimann, 1999. "From Generosity to Sustainability: The Austrian Pension System and Options for its Reform," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 26(1), pages 21-38, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jesús Clemente & María Dolores Gadea & Antonio Montañés & Marcelo Reyes, 2017. "Structural Breaks, Inflation and Interest Rates: Evidence from the G7 Countries," Econometrics, MDPI, vol. 5(1), pages 1-17, February.
    2. Everaert, Gerdie, 2014. "A panel analysis of the fisher effect with an unobserved I(1) world real interest rate," Economic Modelling, Elsevier, vol. 41(C), pages 198-210.
    3. Herwartz, Helmut & Reimers, Hans-Eggert, 2006. "Modelling the Fisher hypothesis: World wide evidence," Economics Working Papers 2006-04, Christian-Albrechts-University of Kiel, Department of Economics.
    4. Óscar Bajo Rubio & Carmen Díaz Roldán & Vicente Esteve, 2004. "Is the Fisher Effect Nonlinear? Some Evidence for Spain, 1963-2002," Economic Working Papers at Centro de Estudios Andaluces E2004/05, Centro de Estudios Andaluces.
    5. R. Santos Alimi, 2014. "ARDL Bounds Testing Approach to Cointegration: A Re-Examination of Augmented Fisher Hypothesis in an Open Economy," Asian Journal of Economic Modelling, Asian Economic and Social Society, vol. 2(2), pages 103-114, June.
    6. Bosupeng, Mpho & Biza-Khupe, Simangaliso, 2015. "The Impact of Money Supply Volatility on the Fisher Effect –A Botswana Empirical Perspective," MPRA Paper 77920, University Library of Munich, Germany, revised 2015.
    7. Ekaterini Panopoulou, 2005. "A Resolution of the Fisher Effect Puzzle: A Comparison of Estimators," Money Macro and Finance (MMF) Research Group Conference 2005 18, Money Macro and Finance Research Group.
    8. Hamid Baghestani, 2016. "Interest rate movements and US consumers’ inflation forecast errors: is there a link?," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 40(3), pages 623-630, July.
    9. Kanas, Angelos, 2008. "On real interest rate dynamics and regime switching," Journal of Banking & Finance, Elsevier, vol. 32(10), pages 2089-2098, October.
    10. Harun UCAK & Ilhan OZTURK & Alper ASLAN, 2014. "An Examination of Fisher Effect for Selected New EU Member States," International Journal of Economics and Financial Issues, Econjournals, vol. 4(4), pages 956-959.
    11. Lai, Kon S., 2004. "On structural shifts and stationarity of the ex ante real interest rate," International Review of Economics & Finance, Elsevier, vol. 13(2), pages 217-228.
    12. Gylfason, Thorvaldur & Tómasson, Helgi & Zoega, Gylfi, 2016. "Around the world with Irving Fisher," The North American Journal of Economics and Finance, Elsevier, vol. 36(C), pages 232-243.
    13. Nicholas Crafts, 2013. "Returning to growth: lessons from the 1930s," Working Papers 13010, Economic History Society.
    14. Villa, Miguel & Rivadeneira S., Luis, 1999. "El proceso de envejecimiento de la población en América Latina y el Caribe: una expresión de la transición demográfica," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 34671, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    15. Genevieve Verdier, 2005. "The (Much Understated) Quantitative Role of Capital Accumulation and Saving," Macroeconomics 0507015, University Library of Munich, Germany.
    16. Joakim Westerlund, 2008. "Panel cointegration tests of the Fisher effect," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 23(2), pages 193-233.
    17. Josef Baumgartner & Helmut Hofer & Serguei Kaniovski & Ulrich Schuh & Thomas Url, 2006. "Employment and growth in an aging society: a simulation study for Austria," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 33(1), pages 19-33, March.
    18. Thomas URL & Josef BAUMGARTNER & Helmut HOFER & Serguei KANIOVSKI & Andreas U. SCHUH, 2010. "A Long-run Macroeconomic Model of the Austrian Economy (A-LMM)," EcoMod2004 330600143, EcoMod.
    19. Barbot-Coldevin, Jöelle, 1999. "Gender-based inequalities: the greater vulnerability of older women," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 34682, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    20. Stanislaw Gomulka & Marek Styczen, 1999. "Estimating the Impact of the 1999 Pension Reform in Poland, 2000 - 2050," CASE-CEU Working Papers 0027, CASE-Center for Social and Economic Research.

    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:ice:wpaper:wp06. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc 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 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: Central Bank of Iceland (email available below). General contact details of provider: https://edirc.repec.org/data/sedgvis.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.