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Redistributive pensions in the developing world

Kemmerling, Achim ; Neugart, Michael (2019)
Redistributive pensions in the developing world.
In: Review of Development Economics, 23 (2)
doi: 10.1111/rode.12582
Artikel, Bibliographie

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Kurzbeschreibung (Abstract)

Redistributive so-called social pension schemes have seen a remarkable surge in developing countries. These schemes often target the rural elderly and correlate with urbanization rates, urban rural-wage differentials, and family norms. We use this stylized evidence to motivate a political economy model for a Beveridgean pension system with trade-offs between four groups: the (poorer) rural old and young, and the (richer) urban old and young. We show under which conditions governments will install a pension system and increase its generosity as the share of the urban population rises, productivity differentials between urban and rural workers widen, or the social norm erodes. Our conclusion is that the role of the rural–urban divide in shaping redistribution merits more scholarly attention, as the gap between cities and the countryside widens in many developing countries.

Typ des Eintrags: Artikel
Erschienen: 2019
Autor(en): Kemmerling, Achim ; Neugart, Michael
Art des Eintrags: Bibliographie
Titel: Redistributive pensions in the developing world
Sprache: Englisch
Publikationsjahr: 2019
Verlag: Wiley
Titel der Zeitschrift, Zeitung oder Schriftenreihe: Review of Development Economics
Jahrgang/Volume einer Zeitschrift: 23
(Heft-)Nummer: 2
DOI: 10.1111/rode.12582
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Kurzbeschreibung (Abstract):

Redistributive so-called social pension schemes have seen a remarkable surge in developing countries. These schemes often target the rural elderly and correlate with urbanization rates, urban rural-wage differentials, and family norms. We use this stylized evidence to motivate a political economy model for a Beveridgean pension system with trade-offs between four groups: the (poorer) rural old and young, and the (richer) urban old and young. We show under which conditions governments will install a pension system and increase its generosity as the share of the urban population rises, productivity differentials between urban and rural workers widen, or the social norm erodes. Our conclusion is that the role of the rural–urban divide in shaping redistribution merits more scholarly attention, as the gap between cities and the countryside widens in many developing countries.

Freie Schlagworte: pensions, developing countries, political economy, family transfers, crowding out, electoral support
Zusätzliche Informationen:

JEL-classification: H55, D72, O18

Fachbereich(e)/-gebiet(e): 01 Fachbereich Rechts- und Wirtschaftswissenschaften
01 Fachbereich Rechts- und Wirtschaftswissenschaften > Volkswirtschaftliche Fachgebiete
01 Fachbereich Rechts- und Wirtschaftswissenschaften > Volkswirtschaftliche Fachgebiete > Fachgebiet Finanzwissenschaft und Wirtschaftspolitik
Hinterlegungsdatum: 03 Mai 2019 07:37
Letzte Änderung: 18 Jul 2024 10:05
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