Public Disclosure Authorized potx

HIMOUD 31JOIAOd I QVI~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ 41~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~4, $ 3A N N -\ .s. L .y,-t, 3v *,., os -z, -^sS t.2~~~~Jk~ Wv sS> V.O~ AD- IO )IY aaoM V *'<i;'g''S'''g~~~~' Public Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure Authorized [...]... important policv questions are not: Should spending on the old increase?And should the public sector be involved?Thev are: How should the public sector be involved?Are public taxes and transfers the best alternative or are otlher types of public interventions and old age arrangements better? 6 OVER V It Figure Projected 2 Public Pension Spending Region, by 1990-2050 Pensionspendingas a percentageof GDP... over Sixt; Years Old, 1990-21 50 349 Average Annual Compound Real Growth Rare of W(ages, Selected Periods 354 A.4 Public Pensioni Scheme Coverage Selected Countries 356 A.5 Public Pension Spending Indicators 358 A.6 Publicly Managed Pensioni Scheme Financing, Selected Countries, 1986 361 Main Publicly Mandated Pension Scheme Design Features, A.7 1991 364 A.8 Percentage of Recenit Average Earnin1gsIPaidas... People's Republicof Korea, the Republicof Korea,the Lao the People's Republic,Macao,Malaysia,Maldives, FederatedStates Papua Newv Mongolia, Myanmar, Nepal, Pakistani, of lMicronesia, Guinea, the Philippines, Singapore, the Solomon Islands, Sri Lanka,Taiwan (China), Thailand, Vanuatu,and Viet Nam * The ilMfiddle and North Af-ica comprises Algeria, Bahrain, East Cyprus, Egypt, the Islamic Republic of... Republic, Tunisia, Turkey, the United Arab Emirates,and the Republicof Yemeni comprise Albania, Ar* Eastern Europe and the forier Soviet Ulnionz Belarus, Bulgaria, Croatia, the Czech Repubmenia, Azerbaijani, lic, Estonia,Georgia, Hungarv, Kazakhstan,the KvrgyzRepublic, Larvia, Lithuania, lMoldova,Poland, Romania, Russia, Slovenia, Taijikstani, Turkmeinistan,Ukraine, Uzbekistan, and the Federal Republicof... the Population over 60 from 9 to 18 Percent, Selected Countries 34 Relation between Publicly Mandated Pensioni Plan Coverage and Iincome Per Capita 40 Relation between the Percentage of the Population over 60 Years Old and Public Pension Spending 41 Relation between Income Per Capita and Public Pension Spending 42 Public Health and Pensioni Spending Compared witlh Population Aging 44 Relative Povertv... as populations age China 29% * Publicly managed funds set aside for the old are often dissipated OECD countries, 14% Asia (lessChina), Soince: Adapted from the World Bank popLilatioiri data base will of Thenumber oldpeople triple will of by2030,andmost thegrowth countries beindeveloping * by poor management In Zambia, the public provident fund, invested exclusively in public securities, lost 23 percent... Average Annual Real Investment Returns for Selected Publicly Managed, Partially Funded Pension Schemes in the I 980s 128 Access to Social Security in Latin America, by Income Quintile, Late 1980s 132 Rates of Return to Generations Retiring Twenity-five to Forry-five 136 Years after the Start of a Public Pension Scheme Explicit Debt versus Implicit Public Pension Debt in Seven OECD 139 CouLntries, 1990... Contribution Rates Required to Finance a 40 Percent Flat Pension for a CouLntrywith a Young but Rapidly Aging Population 90 The Growth of the Implicit Public Pensioni Debt 1995-2075 91 Average Annual Investmenr Returns for Selected Pension Funds, 1980s 95 Public IPensioni Spending during the Demographic Transition: United Kingdom Historical Pattern versus Current Global Pattern 107 Pension System Stirplus... a Pension after Thirty Years of Covered Employment Selected Countries, 1991 369 A.9 Comparison of Administrative Costs of Publiclv Mandated Pension Schemes 370 A 10 Expected Dtiratioin of Reriremenit at Official Retirement Age by IncomileLevel, Selected Countries 371 373 A.1 I Public Pension Schemilesin Tranisitional Economies, Post-1990 A.12 Portfolio Distributioni of Pension Fulids in Eight oEcWC... CRISIS Fullfunditneg:the accumulation of pension reserves that total 100 percent of the present value of all pension liabilities owed to current mem bers Implicit public pensioondebt (net): the value of outstanding pension claims on the public sector minus accumulated pension reserves Intergenerational distribution: income transfers between different age cohorts of persons Intragenerational distribution: . V *'<i;'g''S'''g~~~~' Public Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure AuthorizedPublic Disclosure Authorized