This text highlights the neglected dimension of justice in the design of sustainable pension systems. This is done through an analysis of the current Swedish pay-as-you-go pension system, which is often described as exemplarily sustainable. The detailed analysis singles out four distributional effects that the system produces and which can be considered unfair: (1) that the old have to carry most of the risks of economic recessions; (2) that the least well off among the old are disadvantaged by the use of average life expectancy to index benefits in the system; (3) that the system reproduces and magnifies existing inequalities among the old; and (4) that the payoff from contributing to the system is low, in particular for low-wage workers. The text ends with some suggested reforms which aim to make the pension system more just and hence more sustainable.
|Bidragets titel på inmatningsspråk||On the Significance of Justice for Sustainable Pension Systems: An Analysis and Critique of the Swedish Pension System|
|Status||Published - 2021 sep 28|
- Ekonomi och näringsliv