The present volume contains the proceedings of the workshop "Transformation of th Social Security: Pensions in Central-Eastern Europe," held on March 27-28, 1998 in Berlin. The workshop was realised in the context of the multi-disciplinary research programme "The Transformation of Economic Systems and the Reform of Societies in Central and Eastern Europe," currently conducted at Frankfurt Institute for Transformation Studies, European University Viadrina, Frankfurt (Oder). The programme, involving economists, cultural and political scientists, sociologists and jurists, is funded by Deutsche Forschungsgemeinschaft. The editors would like to express their appreciation for this invaluable source of financial support. Moreover, special thanks are due to two people who, in spite of a tight schedule, have done their best to improve the readability and appearance of this book: Melany Jacobs made skilful linguistic improvements to the original manuscripts, while Andreas Paul took great care over the final layout. Contents Preface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V List of Contributors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1X Introduction: Transforming Social Security - Pensions in Central-Eastern Europe Katharina MOiler, Andreas Ry/l and Hans-JOrgen Wagener . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 I. Transition and Social Security in Central-Eastern Europe Social Security - A Second Phase Transformation Phenomenon? Hans-JOrgen Wagener . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 The Transformation of Social Security in Central and Eastern Europe Krzysztof Hagemejer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 II. Issues and Role Models in the Pension Reform Debate The Controversy Between the Pay-As-You-Go System and the Fully-Funded System in Old-Age Security Hermann Ribhegge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 The Political Feasibility of Pension Reform in the Light of Demographic Change Friedrich Breyer and Klaus Stolte . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .