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The transition from social insecurity
Author(s) -
Booth Philip
Publication year - 1998
Publication title -
economic affairs
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.24
H-Index - 18
eISSN - 1468-0270
pISSN - 0265-0665
DOI - 10.1111/1468-0270.00068
Subject(s) - moral hazard , state (computer science) , demographics , pension , social security , transition (genetics) , hazard , private property , property rights , actuarial science , private pension , business , economics , public economics , sociology , finance , microeconomics , market economy , mathematics , incentive , biochemistry , chemistry , demography , organic chemistry , algorithm , gene
The paper analyses the insecurity of state relative to private pensions. It considers issues such as moral hazard, policy‐induced risk and the way in which property rights accrue to a scheme's beneficiaries. The article concludes that state schemes are fundamentally more insecure than private schemes and that the difficulties of state schemes have not arisen simply because of an accident of demographics. The difficulties of private pension schemes are also discussed as well as the transition problems arising from moving from state to private arrangements.