Tag: Sweden
The brief’s key findings are: The economic crisis has provided a ‘stress test’ for many pension systems. In Sweden, the crisis triggered an automatic ‘brake’ to restore financial balance and revealed two problems with the brake’s design: it can favor workers over retirees; and it can result in large shocks for retirees. In response, t…
Abstract Sweden’s new multi-pillar pension system includes a system of mandatory fully-funded individual accounts. The Swedish system tries to keep administrative costs down through centralized management of the collection of contributions, switching among fund options, and record-keeping and communication with account holders. The Swedish system offers contributors more than 600 fund options. However, in t…
