Social pensions Part I : their role in the overall pension system

Robert Palacios · Oleksiy A. Sluchynskyy

40 citations0/0 files storedRePEc: Research Papers in Economics

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Financial Literacy, Pension, Retirement Analysis Social Policy and Reform Studies Poverty, Education, and Child Welfare

Abstract

Cash transfers for the elderly with little or no link to previous contribution, or work history are employed in many countries to provide income support for the elderly. In the context of the larger debate over pension reform, some argue that these'social pensions'are an effective way to deal with chronically low coverage of contributory schemes, and to alleviate poverty among the elderly. This paper reviews the global experience with social pensions. We find that coverage and cost of these programs varies widely, and that the appropriate role for social pensions should take into account several country-specific conditions. The extent of coverage of the contributory scheme, the extent of other social assistance programs, and the relative poverty status of the elderly are among the factors that should be considered. Design and implementation issues will be reviewed in Part II.

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References

1994Income and Outcomes: A Structural Model of Intrahousehold Allocation 2000Grandmothers and Granddaughters: Old Age Pension and Intra-household Allocation in South Africa 2005Evaluating Anti-Poverty Programs 2004Targeting of Transfers in Developing Countries: Review of Lessons and Experience 1997Widowhood and poverty in rural India: Some inferences from household survey data 2002Do private transfers ‘displace’ the benefits of public transfers? Evidence from South Africa 2001Does Money Protect Health Status? Evidence from South African Pensions 1992Social Security and Private Transfers in Developing Countries: The Case of Peru

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2014Should China introduce a social pension?2011Pension policy in China, Singapore, and South Korea: An assessment of the potential value of the notional defined contribution model

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