MacKellar, LandisHolzmann, RobertRepansek, Jana2012-03-192012-03-192009978-0-8213-7558-7https://hdl.handle.net/10986/2587The reform of public pension systems and, more generally, the review of old-age income support are on the reform agenda worldwide. The reform discussion is more intense in countries where population aging is well advanced, including the member countries of the Organization for Economic Co-operation and Development (OECD), much of Latin America, China, Russia, and the former transition economies of Southeastern Europe (SEE). But developing countries in the global South are also awakening to the challenges of aging and old-age income support in view of changing family structures, urbanization, and migration. Over 80 percent of the increase in the numbers of persons age 65 and older up to 2050 will take place in countries with current per capita incomes of US$1,000 and below. Whereas the North grew rich before becoming old, the South risks becoming old before becoming rich. The remainder of the chapter attempts to substantiate this point. The next section briefly describes aging and its fiscal implications in the light of demographic developments in the countries of Southeastern Europe. There follows an outline of the drivers of pension reform that go beyond population aging and have to be understood when choosing among reform options. Subsequent sections take up recent international reform trends and lessons and underline key points concerning the labor market and financial market reforms needed to support pension reform. The chapter ends with some concluding remarks.CC BY 3.0 IGOAGE-EARNINGSAGE-EARNINGS PROFILESASSET ALLOCATIONASSET CLASSASSET PORTFOLIOASSET VALUEAVERAGE EARNINGSBALANCE SHEETSBANKSBENEFICIARIESBENEFIT FORMULABEST PRACTICECALCULATIONCALCULATIONSCAPITAL MARKETCAPITAL MARKET DEVELOPMENTCAPITAL MARKETSCARE FOR CHILDRENCENTRAL BANKCENTRAL BANKSCENTRAL DEPOSITORYCOMPULSORY CONTRIBUTIONSCONTINGENCIESCONTINGENT LIABILITIESCONTRIBUTIONCONTRIBUTION RATECONTRIBUTIONSCORPORATE BONDSCURRENCYCURRENT PENSIONDEPOSITSDEPRECIATIONDISABILITIESDISABILITYDISABILITY BENEFITSDISABILITY INSURANCEDIVERSIFICATIONDIVORCEDIVORCESEARLIER RETIREMENTEARLY RETIREMENTEARNINGSEARNINGS OF WOMENECONOMIC ACTIVITYEXCHANGE RATESFAMILY STRUCTURESFINANCESFINANCIAL AFFAIRSFINANCIAL ASSETSFINANCIAL INCENTIVESFINANCIAL INFRASTRUCTUREFINANCIAL INSTRUMENTSFINANCIAL LITERACYFINANCIAL MARKETFINANCIAL MARKET DEVELOPMENTFINANCIAL MARKETSFINANCIAL POLICYFINANCIAL RISKSFINANCIAL SECTORFINANCIAL SECTOR DEVELOPMENTFINANCIAL SERVICESFINANCIAL SYSTEMFINANCIAL SYSTEMSFUND ASSETFUND ASSETSFUND MANAGEMENTFUTURE VALUESGLOBALIZATIONGOVERNMENT POLICIESGOVERNMENT POLICYGROSS DOMESTIC PRODUCTHOUSEHOLD APPLIANCESHOUSEHOLD SAVINGSIMPLICIT TAXINCOMEINCOME REPLACEMENTINCOME SOURCESINDIVIDUAL ACCOUNTSINDIVIDUAL PENSIONINDIVIDUAL RETIREMENTINDIVIDUAL RETIREMENT ACCOUNTSINDIVIDUAL SAVINGSINTERNATIONAL BANKINTERNATIONAL STANDARDSINVESTINGINVESTMENT CLIMATEINVESTMENT FUNDINVESTMENT PERFORMANCEINVESTMENT REGULATIONSINVESTMENT RETURNSINVESTMENT STRATEGIESINVESTMENT STRATEGYLABOR FORCELABOR MARKETLABOR MARKET PERSPECTIVELABOR MARKETSLIFE EXPECTANCIESLIFE EXPECTANCYLIFE SPANSLIFETIMELONG-TERM CAREMACROECONOMIC PERFORMANCEMACROECONOMIC POLICYMACROECONOMIC STABILITYMANDATORY PENSION FUNDSMARKET DEVELOPMENTSMARKET ECONOMYMARKET FAILURESMARKET INTEGRATIONMARKET PARTICIPANTSMARKET REFORMMARKET REFORMSMONETARY FUNDNATIONAL BANKNET ASSETOLD-AGE PENSIONOLD-AGE PENSIONSOLDER WORKERSPENSIONPENSION ASSETSPENSION BENEFITSPENSION COVERAGEPENSION FUNDPENSION FUND ASSETSPENSION FUNDSPENSION ISSUESPENSION PRODUCTSPENSION PROVISIONPENSION REFORMPENSION REFORM DEVELOPMENTSPENSION REFORMSPENSION RIGHTSPENSION SAVINGSPENSION SCHEMEPENSION SCHEMESPENSION SPENDINGPENSION SYSTEMPENSION SYSTEM REFORMPENSION SYSTEMSPENSIONERSPENSIONSPERSONAL SAVINGSPORTFOLIOSPRIMARY EDUCATIONPRIVATE PENSIONPRIVATE SAVINGPRIVATE SAVINGSPROBABILITYPRODUCTIVITYPUBLIC BUDGETPUBLIC DEBTPUBLIC EXPENDITUREPUBLIC EXPENDITURESPUBLIC FINANCEPUBLIC FINANCESPUBLIC PENSIONPUBLIC PENSION SCHEMESPUBLIC PENSIONSRATES OF RETURNREGULATORY FRAMEWORKREPLACEMENT RATEREPLACEMENT RATESRETIREDRETIRED WORKERSRETIREMENTRETIREMENT AGERETIREMENT AGESRETIREMENT BENEFITSRETIREMENT DECISIONSRETIREMENT INCENTIVESRETIREMENT INCOMERETIREMENT INCOMESRETIREMENT PENSIONRETIREMENT PRODUCTSRETIREMENT PROGRAMSRETIREMENT SAVINGSRETIREMENT-INCOMESAVERSSAVINGS FOR RETIREMENTSECURITIESSENIORSEVERANCE PAYSOCIAL EXCLUSIONSOCIAL INSURANCESOCIAL INSURANCESSOCIAL PROTECTIONSOCIAL RISK MANAGEMENTSOCIAL SECURITYSOCIAL SECURITY CONTRIBUTIONSSOCIAL WELFARESOURCES OF PENSIONSPECTRUM OF RISKSSTATE PENSIONSTOCK EXCHANGESTOCKSSUPERVISORY AUTHORITYTAXTAX BENEFITSTAX BREAKSTAX RATESTAX REGIMETAX TREATMENTTRANSACTIONTRANSITION ECONOMIESTYPES OF PENSIONUNEMPLOYEDUNEMPLOYMENTUNEMPLOYMENT BENEFITSVALUABLEWAGEWAGE GAPWAGESWELFARE STATEWITHDRAWALWORKING LIFEWORKING LIVESYEARLY SAVINGYOUNG ADULTSYOUNG CHILDRENYOUNGER WORKERSWorld Bank10.1596/978-0-8213-7558-7