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The Design and Implementation of Public Pension Systems in Developing Countries: Issues and Options

Author

Listed:
  • Bloom, David E.

    (Harvard School of Public Health)

  • McKinnon, Roddy

    (International Social Security Association)

Abstract

Developing countries are increasingly aware of the need to design and implement improvements in public systems for providing pensions to the elderly. Such systems may aim to smooth consumption and thus provide reliable income to older people, reduce poverty among the elderly, insure those no longer working against the risk of running out of funds, and promote equal treatment of men and women in retirement security even when lifetime earnings and projected average life expectancy may differ greatly. The increasing share of the elderly in the population of all countries makes implementation of sustainable pension systems both more urgent and more difficult. Planners must consider numerous options in pension system design and choose the combination of policies that will optimize coverage, benefits, and financing given a country's demographics, history, practices regarding family support of the elderly, political system, extent of informal labour, and fiscal situation.

Suggested Citation

  • Bloom, David E. & McKinnon, Roddy, 2013. "The Design and Implementation of Public Pension Systems in Developing Countries: Issues and Options," IZA Policy Papers 59, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izapps:pp59
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    References listed on IDEAS

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    Cited by:

    1. Rudolph, Alexandra & Priebe, Jan, 2015. "Pension programs around the world: determinants of social pension," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112986, Verein für Socialpolitik / German Economic Association.
    2. Bloom, David E. & Luca, Dara Lee, 2016. "The Global Demography of Aging: Facts, Explanations, Future," IZA Discussion Papers 10163, Institute of Labor Economics (IZA).
    3. Bloom, D.E. & Luca, D.L., 2016. "The Global Demography of Aging," Handbook of the Economics of Population Aging, in: Piggott, John & Woodland, Alan (ed.), Handbook of the Economics of Population Aging, edition 1, volume 1, chapter 0, pages 3-56, Elsevier.
    4. Owen Nyang'oro & Githinji Njenga, 2022. "Pension funds in sub-Saharan Africa," WIDER Working Paper Series wp-2022-95, World Institute for Development Economic Research (UNU-WIDER).

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    More about this item

    Keywords

    pension systems; aging; retirement; life expectancy;
    All these keywords.

    JEL classification:

    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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