FAIR RETIREMENT UNDER RISKY LIFETIME

• 成果类型: Article
• 署名作者: Fleurbaey, Marc; Leroux, Marie-Louise; Pestieau, Pierre; Ponthiere, Gregory
• 署名单位: Princeton University; University of Liege; Centre for Economic Policy Research - UK; Universite Paris-Est-Creteil-Val-de-Marne (UPEC); Institut Universitaire de France
• 刊物名称: INTERNATIONAL ECONOMIC REVIEW
• ISSN/ISSBN: 0020-6598
• DOI: 10.1111/iere.12152
• 发表日期: 2016
• 页码: 177-210
• 关键词: social-security; income; AGE; mortality

摘要

A premature death unexpectedly brings a life and a career to their end, leading to substantial welfare losses. We study the retirement decision in an economy with risky lifetime and compare the laissez-faire with egalitarian social optima. We consider two social objectives: (1) the maximin on expected lifetime welfare, allowing for a compensation for unequal life expectancies, and (2) the maximin on realized lifetime welfare, allowing for a compensation for unequal lifetimes. The latter optimum involves, in general, decreasing lifetime consumption profiles as well as raising the retirement age. This result is robust to the introduction of unequal life expectancies and unequal productivities.