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Voluntary Enrolment In The Peruvian Private Pension System


  • Carmen A. Li

    () (Department of Economics, University of Essex)

  • Javier Olivera

    (Department of Economics, Katholieke Universiteit Leuven)


One of the important aspects in the design of social protection is coverage. In Peru, as in most Latin American countries, social security participation is compulsory only for workers in the ‘formal’ sector. We investigate the determinants of voluntary enrolment in the private pension system in Peru. We found that a selected group of people i.e. married males (with more than high school education) living in high income households and with other family members already participating in the pension system, have a higher likelihood of participation. Although the results suggest that family based safety nets might be substitutes for pension participation, pension coverage and poverty relief remain as challenges for government involvement.

Suggested Citation

  • Carmen A. Li & Javier Olivera, 2008. "Voluntary Enrolment In The Peruvian Private Pension System," UCL SSEES Economics and Business working paper series 86, UCL School of Slavonic and East European Studies (SSEES).
  • Handle: RePEc:see:wpaper:86

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    References listed on IDEAS

    1. Julian A. Lampietti & Anke S. Meyer, 2002. "Coping with the Cold : Heating Strategies for Eastern Europe and Central Asia's Urban Poor," World Bank Publications, The World Bank, number 15174.
    2. World Bank, 2005. "Ukraine : Poverty Assessment, Poverty and Inequality in a Growing Economy," World Bank Other Operational Studies 8803, The World Bank.
    3. Julian A. Lampietti & Anthony A. Kolb & Sumila Gulyani & Vahram Avenesyan, 2001. "Utility Pricing and the Poor : Lessons from Armenia," World Bank Publications, The World Bank, number 13913.
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    More about this item


    Latin America; Peru; pensions; extended family;

    JEL classification:

    • D10 - Microeconomics - - Household Behavior - - - General
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • H5 - Public Economics - - National Government Expenditures and Related Policies


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