SUPPLY-SIDE CONSEQUENCES OF SOCIAL SECURITY REFORM: IMPACTS ON SAVING AND EMPLOYMENT

摘要: Pension reform can potentially increase saving and improve incentives for labor force participation later in life. We investigate whether these effects are likely to occur the potential size of on private total employment past age 55. Our survey existing evidence new empirical analysis focus three issues: The possible reduction other government if more assets accumulated a public retirement program; non-pension accounts; old-age supply that could Social Security benefits reduced.We find mixed faster accumulation or funds would produce higher saving. Using most optimistic estimates response funds, we advance funding will cause big aggregate future national income. However, international suggests governments offset large percentage pension fund by reducing accounts. savers tend accounts with lower Most reductions imply be small. Even using unrealistically high responsiveness, one-third cut add less than 3 percent force.