scholarly journals The Impact of the Flexibilization of Employment Histories on the Pension Adequacy in Poland

2020 ◽  
Vol 12 (19) ◽  
pp. 8260
Author(s):  
Alicja Jajko-Siwek
Keyword(s):  
Pension System ◽  
Classification Tree ◽  
State Budget ◽  
Employment History ◽  
System Sustainability ◽  
Pension Benefits ◽  
The Impact ◽  
Tree Method ◽  
Pension Adequacy

Flexibilization of employment history is a sign of our time. One of the real consequences of this phenomenon is the risk of a decrease in the level of future pension benefits, which can lead to the deprivation of pension system sustainability. Subsidies from the state budget will be necessary to the inadequate pensions. The paper aims to present how changes in earnings and employment breaks, caused by flexibilization of employment history, will impact the adequacy of pension benefits in Poland. In the research, different scenarios of employment history have been considered. As the method of research, we have used one of the data mining tools—the classification tree method with CART (Classification and Regression Trees) algorithm. The obtained results have shown a crucial role of stable individual promotion of earnings. Significant also is the level of earnings. The lower earnings can be compensated by long periods of seniority or by higher retirement age. Any breaks in work will lead to a reduction in the level of pension benefits and difficulties in maintaining adequacy. The suggestion from the study is that even if you are unemployed or receive a low salary, you should leave at least a low contribution to the pension system.

scholarly journals FINANCIAL PROVISION OF THE PENSION SYSTEM IN THE EUROPEAN COUNTRIES AND UKRAINE UNDER GLOBALIZATION

2012 ◽  
Vol 8 (1) ◽  
pp. 73-80
Author(s):  
Tetiana Ivashchenko
Keyword(s):  
Pension System ◽  
Negative Impact ◽  
Financial Economic ◽  
European Countries ◽  
Pension Insurance ◽  
Pension Systems ◽  
The Social ◽  
System Functioning ◽  
The Impact

The most contradictions arise today over the pension system reforming. Each year the states spent significant resources to finance social and economic needs of the population. The positive effect of the nominal growth of the social and economic guarantees in Ukraine leveled nowadays in terms of financial, economic and political instability. Also the processes of depopulation have a very negative impact on the financial viability of the PAYG pension system. Given this, the research aim was to study and discuss tendencies in financial provision of the pension systems in the European countries and Ukraine under globalization. As a result in the process of research the main features of functioning and providing of the pension insurance systems in European countries and Ukraine were examined; the impact of the depopulation processes on the financial provision of the pension systems was determined; problems, related to introduction of the funded system of pension insurance were analyzed; the role of the minimum pension institute in provision of the effective pension system functioning was disclosed and recommendations in relation to optimization of pension insurance and providing сo-operation under globalization were developed.

scholarly journals State Administration of Retirement Age in the terms of Budget Crisis

Upravlenie ◽  
2016 ◽  
Vol 4 (3) ◽  
pp. 80-87
Author(s):  
Соловьев ◽  
A. Solovev
Keyword(s):  
Pension System ◽  
Demographic Factors ◽  
The State ◽  
Economic Consequences ◽  
Retirement Age ◽  
Pension Policy ◽  
State Budget ◽  
Methodological Approaches ◽  
State Pension ◽  
The Impact

The aim of the study is to analyze the effect of age on the appointment of the state pension fiscal system in our country. The problem of rising of the retirement age in Russia is given a value that is far away from the traditional context of direct influence of demographic processes on the level of pensions, on the one hand, and adaptation of the pension system to changing demographic factors, on the other. In the article the pension system for the first time is considered as a multifactorial model that corrects the degree of dependence on the mutually complex of macroeconomic and demographic factors in the different historical periods. This requires a fundamental change in the methodological approaches to the problem of rising the retirement age by using actuarial methods of forecasting. Actuarial analysis of the problem of retirement age in the work shows that the perception of the linear dependence of the age of the destination state of the demographic parameters cannot be considered as a tool for regulating the efficiency of the pension system. The results of the study are the specific parameters of actuarial assessments of the impact of demographic and macroeconomic conditions to increase the retirement age in Russia, conducted using data from the state statistics, formulated practical proposals to mitigate negative economic consequences. Conclusion: Rising the retirement age should be aimed at economic stimulation of formation of the pension rights of the insured in the long term, rather than the economy of the state budget. Methodological approaches, grounded in the work, and quantitative results of the actuarial calculations will be used in the formation of public pension policy in the preparation of the regulations to rise the retirement age, the pension formula of calculating the pension rights of insured persons, the mechanism of pension indexation.

scholarly journals You Win Some, You Lose Some: Pension Reform in Bachelet’s First and Second Administrations

2019 ◽  
Vol 11 (2) ◽  
pp. 204-230 ◽  
Author(s):  
Silvia Borzutzky
Keyword(s):  
Political Ideology ◽  
Pension System ◽  
Pension Reform ◽  
Presidential Power ◽  
Pension Policy ◽  
The Will ◽  
The Government ◽  
The Impact ◽  
Government Coalition

This article analyses and compares President Bachelet’s successful efforts to reform the Chilean pension system in 2008 and her failure to achieve the same objective in 2017. The article addresses the impact of electoral promises, policy legacies, policy ideology, presidential power, the role of the private sector, and the role that the government coalitions had in the process of pension reform during the Bachelet administrations. We argue that the 2008 reform was possible because of Bachelet’s personal commitment to reform and the presence of a stable governing coalition that had the will and capacity to legislate. In the second administration, although the policy legacies and ideology had remained the same, the reform did not materialise due to intense conflict within the administration and within the government coalition, as well as conflict between the administration and the coalition. These conflicts, in turn, generated a vicious cycle responsible for Bachelet’s declining popularity, limited political capital, and reduced support for reform. A stagnant economy further undermined these efforts. In brief, this article argues that when assessing success and failure in pension policy reform it is important to analyse not only policy legacies and political ideology but also the strength of the executive, the cohesion of the governing coalition, and the country’s economic performance.

Disparities in pension systems and financial flows among European countries

2008 ◽  
Vol 8 (1) ◽  
pp. 1-33 ◽  
Author(s):  
JEAN CHATEAU ◽  
XAVIER CHOJNICKI ◽  
RICCARDO MAGNANI
Keyword(s):  
General Equilibrium ◽  
Capital Accumulation ◽  
Pension System ◽  
European Countries ◽  
Financial Flows ◽  
The United Kingdom ◽  
Long Run ◽  
Retirement Systems ◽  
System Sustainability ◽  
The Impact

AbstractWe present a quantitative analysis of the impact of differential ageing and pension reforms on capital and labor market and, in particular, on intra-European capital flows. To this end, we develop a stylized general equilibrium model with overlapping generations of heterogeneous agents for the three largest European countries: France, Germany and the United Kingdom. The model presents a structure halfway between pure general equilibrium models with rigorous microeconomic foundations and accounting models where the macroeconomic environment remains exogenous. We show that the dynamics of capital accumulation and pension system sustainability are totally different depending on the assumption concerning economic openness. Finally, in the long run, resorting to debt financing seems to be a dead end to finance retirement systems.

scholarly journals Informality and the Challenge of Pension Adequacy

2019 ◽  
Vol 19 (149) ◽  
pp. 1
Author(s):  
Christoph Freudenberg ◽  
Frederik Toscani
Keyword(s):  
Pension System ◽  
Pension Reform ◽  
Positive Impact ◽  
Defined Benefit ◽  
Defined Contribution ◽  
Real Rate ◽  
Labor Market Reform ◽  
The Impact ◽  
Term Labor ◽  
Pension Adequacy

Past reforms have put the Peruvian pension system on a largely fiscally sustainable path, but the system faces important challenges in providing adequate pension levels for a large share of the population. Using administrative microdata at the affiliate level, we project replacement rates in the defined benefit (DB) and defined contribution (DC) pillars over the next 30 years and simulate the impact of various reform scenarios on the average level and distribution of pensions. In the DB pillar, the regressive minimum contribution period should be re-thought, while in the DC pillar a broadening of the contribution base and/or an increase in contribution rates would help increase replacement rates relative to the baseline forecast of 25-33 percent. A higher net real rate of return than assumed in the baseline would also have a significant positive impact. In the medium-term, labor market reform to tackle informality, and a broad pension reform to restructure the system and avoid competition between the DB and DC pillars should be a priority. Given low pension coverage, having a strong non-contributory pillar will remain important for the foreseeable future.

scholarly journals How the Pension System Responds to Pandemic Shocks: A Case Study of Georgia

2021 ◽  
Vol 17 (5) ◽  
Author(s):  
Maka Ghaniashvili
Keyword(s):  
Life Expectancy ◽  
Pension System ◽  
Pension Reform ◽  
Age Distribution ◽  
Financial Strain ◽  
Significant Step ◽  
Pros And Cons ◽  
Pension Benefits ◽  
The Impact ◽  
Fiscal Risks

The paper focuses on the impact of the pandemic crisis on pension system in Georgia and analyzes the pros and cons of the ongoing pension reforms in the country. Decreased birth rates and increased life expectancy over the next decades will significantly change the picture of the age distribution of the population in many countries. As life expectancy increases and the birth rate decreases, more people retire than are added to the workforce. A change in the demographic picture necessitates fundamental pension reform. At the same time, the world is facing a crisis caused by the COVID-19 pandemic. The future is uncertain, both medically and financially. Despite optimistic forecasts, the second wave of the COVID-19 pandemic has begun in many countries which further increases the degree of uncertainty. Funded pension schemes suffer from the crisis because lower returns diminish their asset values, while low yields on public debt instruments increase the present value of their liabilities. This can generate both explicit fiscal risks— in the case of government guarantees—and implicit fiscal risks through lower private pension benefits or financial strain on the sponsoring employers. Our research is focused on the pension system and its development problems in Georgia, taking into account that since 2019, 1st January, the existing financial, demographic and economic challenges have determined the establishment of a new pension system. Main sources for the research are data gathered from the international organizations and local governmental and statistical data softwares. Our research results show that the pension reform launched in 2019 in Georgia is a significant step forward in reducing social imbalances and fiscal pressures in the medium / long term. However, for further development, it is important to systematically assess the effectiveness of pension policies, taking into account factors such as changes in demographic structure, expected fiscal spending, the inequality gap and the crisis caused by the COVID-19 pandemic.

scholarly journals Role of Tax Havens in the Tax Revenue Development and Its Reflection on the Public Revenues of the Developing Countries: An Empirical Study in Iraq (2004–2014)

2017 ◽  
Vol 8 (2) ◽  
pp. 289-299
Author(s):  
Bushra Fadhil Khudhair Al-taie ◽  
Hakeem Hammood Flayyih ◽  
Hassnain Raghib Talab ◽  
Noor Abbas Hussein
Keyword(s):  
Tax Revenue ◽  
Socialist Economy ◽  
State Budget ◽  
Tax Havens ◽  
The Public ◽  
Tax Haven ◽  
Public Revenue ◽  
The Impact ◽  
Public Revenues

Abstract The aim of this study is to investigate the role of tax haven on tax revenue development and its reflection on public revenue in Iraq between 2004 and 2014. A review of tax haven literature revealed that there are different types of tax havens, categorizations, characteristics, effects of tax havens, socio-economic consequence and reaction to tax haven that requires analysis. An empirical analysis is done in the public revenue of Iraq from 2004 to 2014. Descriptive statistics and evidentiary are employed as the analysis techniques. It is revealed that the importance of structure analysis of public revenues is connected with tax haven because the basic foundation for the State budget. Also, the growth rates of tax revenue for the period beyond the year 2003 which saw the Iraq regime change and more open to the world and draws from a socialist economy to a market economy, as well as the effect of the tax was havens with the direct tax income withholding tax, as well as the impact of tax revenue in the Public State revenues. Withthe analytical nature of the study reported in this paper, there is still an opportunity for further work on larger populations to confirm the generalizability of the findings.

scholarly journals REFORMATTING UKRAINIAN BUDGET SYSTEM WITHIN THE CONDITIONS OF POWER DECENTRALIZATION

World Science ◽  
2020 ◽  
Vol 2 (1(53)) ◽  
pp. 4-10
Author(s):  
Inna Hnydiuk
Keyword(s):  
Local Authority ◽  
Budget Balance ◽  
State Budget ◽  
Major Powers ◽  
Financial Framework ◽  
In The Beginning ◽  
Framework Development ◽  
The Impact ◽  
Budget System

The article provides a renovated structure of the state budget system, including location and role of the budgets of joint territorial communities. Besides, current research analyzes the impact of Tax and Budget transformations on the financial framework development of the bodies of local self-authorities, implemented in the beginning of 2015. Special attention has been paid by the authors of the article to the budget balance. Major powers and functions of the bodies of local authority have been studied, according to the European Charter of Local Authority.

scholarly journals The Role of Public Participation for Determining Sustainability Indicators for Arctic Tourism

2020 ◽  
Vol 13 (1) ◽  
pp. 295
Author(s):  
Rannveig Ólafsdóttir
Keyword(s):  
Public Participation ◽  
Expert Knowledge ◽  
Cost Effective ◽  
Sustainability Indicators ◽  
Final Decision ◽  
New Paradigm ◽  
System Sustainability ◽  
Holistic Vision ◽  
The Impact

The new paradigm of sustainable development highlights the importance of enforcing defined boundaries between economies, societies, and the environment within a system. Sustainability indicators are tools that have proven to be a successful aid in defining and creating system boundaries. This paper focuses on the development of sustainability indicators for Arctic tourism, with a special emphasis on the role of public participation in their determination. It presents a stakeholder-centric approach to indicator selection by developing a framework that effectively integrates public participation in the processes of indicators’ selection and designation, and highlights the importance of combining local and expert knowledge in these processes. The results reveal that the making of sustainability indicators is an ideal platform for local voices to be heard, and thus have a significant stake in the overall process of tourism development. The most effective way to make their voices heard in the final decision-making process is via their evaluation of the adaptability and prioritization of these indicators. The results, furthermore, stress that sustainability indicators need to be constantly re-evaluated and updated, as tourism is part of a complex and dynamic system that is constantly changing. To provide a holistic vision of the impact of economic, environmental, and social factors, as well as the causality between them in the system, sustainability indicators must be integrated from many indicators. Since the monitoring of conventional indicators is often less complicated and more cost-effective than the monitoring of integrated indicators, a better result can however be reached by combining conventional indicators with sustainability indicators.

DEMOGRAPHIC DETERMINANTS OF SOCIAL RISKS AND FEATURES OF THEIR MANIFESTATION IN THE LABOR MARKET DURING THE COVID-19 PANDEMIC

2017 ◽  
Author(s):  
Radmila Pidlypna ◽  
◽  
Valeriia Smochko ◽  
Keyword(s):  
Labor Market ◽  
Pension System ◽  
Social Indicators ◽  
Poverty Line ◽  
Social Risk ◽  
State Budget ◽  
Social Risks ◽  
Theoretical Approaches ◽  
Money Transfers ◽  
The Impact

Current article considers theoretical approaches to the consistency of the term "social risk", outlines their classification features. The impact on the labor market of quarantine restrictions due to the COVID-19 pandemic was investigated, the sequence of manifestation of social risks associated with a decrease in the level of economic activity was determined. Ukraine has been in conditions of economic and political instability since 2014, which was the result not only of a “hybrid war” from Russia (the main trading partner at that time), but also of chronic inefficiency of state and corporate governance. The 2020 pandemic only intensified the stagnation of the economy, with an annual GDP contraction of 4%. The labor market has undergone negative changes, basic social indicators have get worse − employment of the population and the level of unemployment; the number of labor migrants abroad has decreased and, accordingly, money transfers from abroad have reduced too; incomes of the population decreased due to a reduce of salary, partial or full loss of job,suspension ortermination of activities of individual entrepreneurs and selfemployed persons. The difference between the number of the active and inactive population is growing, which increases the social pressure on the employed population. Of the 15915.3 thousand employed persons, the number of insured persons was only 12823.5 thousand, while the number of retirees was 11131.0 thousand, that is, the coefficient of demographic dependence of the pension system in Ukraine is 0.87 (the number of retirees per one worker). Disbursement on social payment, excluding pensions, in Ukraine are 8-20 times less than in the closest European neighbors; despite the fact that the number of citizens living below the poverty line is 2-5 times higher than the indicators of neighboring countries. The consequence of the COVID-19 crisis was not only a drop in GDP, but also an increase in the state budget deficit to 5.3% of GDP in 2020 and to 5.5% of GDP in 2021. There is a growing risk that repeated waves of COVID-19 and unacceptably slow roll-out of vaccination will undermine optimistic forecasts for the domestic economy for the next decade.

Sign in / Sign up

Export Citation Format

Share Document