Administering Individual Accounts in Social Security: The Role of Values and Objectives in Sharing Options

摘要: This paper seeks to clarify the current debate surrounding individual accounts by exploring systematically variety of structural and administrative arrangements that either have been proposed for account systems in this country or adopted other parts world. Plans from Chile, Latin America, Australia, United Kingdom, Sweden States are examined, including Roth, personal security accounts, Ball, Porter, Moynihan Feldstein/Samwick proposals. The focuses on two aspects arrangements: (1) mechanisms employed under each plan move money contributors pension fund managers back retirees (2) variations among plans financial management choices available workers. purpose is analyze logic underlying different arrangements, help quantify linkage between structure outcomes. In particular, information can illustrate some potential relationships an plan, gross investment returns, costs, net returns. goals include improved overall economy, higher rates return Social Security contributions, greater choice responsibility, reduced government liabilities. No single likely be best one achieve all these goals. Constructing requires making which objective must sacrificed order pursue another. costs associated with implemented America Kingdom caused analysts look alternative structures promise lower (potentially) returns alternatives tend suffer more drawbacks their own, however. Employers may shoulder a burden, worker constrained, relied upon play major role collecting maintaining information, even managing accumulating funds. trade-off also present design withdrawal options, where increase as result both adverse selection marketing promotional private insurers. A further issue divides concerns treatment gender differences life expectancy payment options. Before Americans consider proposals they first develop consensus about relative importance objectives being pursued social values understood.