Pension systems, intergenerational risk sharing and inflation

Abstract

Everywhere in the industrialized world, population aging is putting social security systems under financial strain. As a result, social security systems are being reformed in many countries. In particular, various countries move from pure pay-as-you-go (PAYG) systems to pension systems that include a larger funded component. At the same time, definedbenefit systems in which benefits are guaranteed by public or corporate sponsors are being replaced by defined-contribution systems in which benefits are subject to various risks.(funded) pensions, fiscal policy, nominal assets, risk-sharing, overlapping generations, , Beetsma, Bovenberg