Title: Pooling, Savings, and Prevention Mitigating the Risk of Old Age Poverty in Chile
Abstract: No AccessPolicy Research Working Papers21 Jun 2013Pooling, Savings, and Prevention Mitigating the Risk of Old Age Poverty in ChileAuthors/Editors: Truman G. PackardTruman G. Packardhttps://doi.org/10.1596/1813-9450-2849SectionsAboutPDF (0.3 MB) ToolsAdd to favoritesDownload CitationsTrack Citations ShareFacebookTwitterLinked In Abstract:Using data collected in a survey on risk and social insurance in Chile, Packard finds that workers who entered the labor market after the pension reform of 1981 have a greater "contribution density" than those who contributed to the previous social security system. Further, the expectation of care from children and the amount spent on their education significantly lowers the likelihood of contribution to the pension system. Workers who have met the contributory requirements to qualify for the minimum pension guaranteed by the government are significantly less likely to continue making contributions. The likelihood of contributions beyond the eligibility threshold being lowered further, the greater the market rental value of respondents' homes. Furthermore, individuals with a greater tolerance for risk contribute, suggesting that there are retirement security investments in Chile that are perceived as relatively less risky than saving in the reformed pension system. The results indicate that housing could be one such investment. This paper—a product of the Human Development Sector Unit, Latin America and the Caribbean Region—is part of a regional study on social security reform. The author may be contacted at [email protected] Previous bookNext book FiguresReferencesRecommendedDetailsCited ByInformal employment in the formal sector: wages and social security tax evasion in VietnamJournal of the Asia Pacific Economy, Vol.17, No.4Coverage of the Fully Funded Private Social Security System in Chile, Colombia, and MexicoSSRN Electronic JournalExtending the risk pool for health in developing countries: The challenges of moving to general tax fundingInternational Social Security Review, Vol.60, No.2-3Etendre la mutualisation des risques en matière de santé dans les pays en développement: les défis d'une évolution vers un financement par le budget de l'EtatRevue Internationale de Sécurité Sociale, Vol.60, No.2-314 September 2007Erweiterung des Risikopools in der Gesundheitsversorgung von Entwicklungsländern: Probleme beim Übergang zur SteuerfinanzierungInternationale Revue für Soziale Sicherheit, Vol.60, No.2-311 September 2007Extender la cobertura conjunta de los riesgos para la salud en los países en desarrollo: desafíos que entraña la transición hacia una financiación fiscal generalRevista Internacional de Seguridad Social, Vol.60, No.2-313 September 2007Rethinking Social Security in Latin AmericaInternational Social Security Review, Vol.58, No.2-3Informality RevisitedWorld Development, Vol.32, No.7Informal Self-Employment: Poverty Trap or Decent Alternative? View Published: May 2002 Copyright & Permissions Related RegionsLatin America & CaribbeanRelated CountriesChileRelated TopicsPrivate Sector DevelopmentFinance and Financial Sector Development KeywordsBANKCONTRIBUTIONCONTRIBUTIONSEDUCATIONINVESTMENTINVESTMENTSLABOR MARKETMINIMUM PENSIONPENSIONPENSION REFORMPENSION SYSTEMPOPULATIONRETIREMENTRETIREMENT SECURITYSAVINGSAVINGSSOCIAL INSURANCESOCIAL PROTECTIONSOCIAL SECURITYWORKING LIVES PDF DownloadLoading ...