Tag: pension debt
The brief’s key findings are: The market crash has hurt public pensions, and quick fixes aren’t feasible because: pension cuts for new hires take time to add up; and tax revenues have been hit hard by the recession. Fortunately, most plans do not face a liquidity crisis. Years to exhaustion depend on investment returns and…
Abstract This article, based on two books (Barr and Diamond 2008, forthcoming), sets out a series of principles for pension design rooted in economic theory: pension systems have multiple objectives, analysis should consider the pension system as a whole, analysis should be framed in a second-best context, different systems share risks differently, and systems hav…
