|
| |
N° 201 |
  |
| May 2001 |
| Has Bismarck Been Sunk? |
| Florence Legros |
|
| The reform of Germany's pension system introduces
the principle of a supplementary, funded pension, which is financed by employees
alone, supported by State aid. Thanks to such funding, in addition to the PAYG
scheme, pensions will continue to be equivalent to 70% of the average wage. Given
the risks associated with the demographic ageing of the population for the equilibrium
of the pension scheme, the political dexerity of the project lies in the way it
has put forward a constant replacement rate, without raising compulsory contributions.
However, the reform is based on very favourable assumptions, which make it likely
that it will be difficult to avoid a rise in the retirement age. Furthermore,
while the reform does fit into the "Bismarkian" tradition, it nevertheless
includes a number of breaks with the past. |
Abstract |
| |
Full
text (pdf) |
|
|
| To visualise the full text document, use Acrobat Reader |
|
|
|
|
|
