Recently, policy debate and comparative research on old-age
pensions have focused on the financial sustainability of pension
systems in the face of demographic change. This study, however,
also takes into account distributional effects involved in pension
system structures. Theoretical, institutional and empirical
analyses are combined to form a comprehensive framework for
evaluating financial sustainability and distributional effects of
the pension systems implemented in Germany and the United
Kingdom.
Along with projections of demographic trends and future public
pension expenditure, the empirical results on old-age incomes and
their distribution allow for identifying a number of reform options
for each pension system to improve their financial or
distributional results.
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