English, Article edition: Has Bismarck Been Sunk? Florence Legros

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Bookmark: http://trove.nla.gov.au/version/159822
Physical Description
  • article
Language
  • English

Edition details

Title
  • Has Bismarck Been Sunk?
Author
  • Florence Legros
Physical Description
  • article
Notes
  • The reform of Germany's pension system introduces the principle of a supplementary, funded pension, which is financed by employees alone, supported by State aid. Thanks to such funding, in addition to the PAYG scheme, pensions will continue to be equivalent to 70% of the average wage. Given the risks associated with the demographic ageing of the population for the equilibrium of the pension scheme, the political dexerity of the project lies in the way it has put forward a constant replacement rate, without raising compulsory contributions. However, the reform is based on very favourable assumptions, which make it likely that it will be difficult to avoid a rise in the retirement age. Furthermore, while the reform does fit into the "Bismarkian" tradition, it nevertheless includes a number of breaks with the past.
  • RePEc:cii:cepill:2001-201
Language
  • English
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