From Generosity to Sustainability The Austrian Pension System and Options for its Reform

Austria has probably the world’s highest pension expenditures relative to its economic size, largely because of the generosity of its pension system. This paper examines the institutional setup of the Austrian pension system and projects its future development based on current policies. The projecti...

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Bibliographic Details
Main Author: Thimann, Christian
Other Authors: Koch, Manfred
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1997
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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245 0 0 |a From Generosity to Sustainability  |b The Austrian Pension System and Options for its Reform  |c Christian Thimann, Manfred Koch 
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300 |a 30 pages 
651 4 |a Austria 
653 |a Population & demography 
653 |a Economics of the Handicapped 
653 |a Private Pensions 
653 |a Pension spending 
653 |a Labour; income economics 
653 |a Retirement Policies 
653 |a Non-labor Market Discrimination 
653 |a Social Security and Public Pensions 
653 |a Nonwage Labor Costs and Benefits 
653 |a Wages, Compensation, and Labor Costs: General 
653 |a Aging 
653 |a Economics of the Elderly 
653 |a Population aging 
653 |a Labor 
653 |a Population and demographics 
653 |a Expenditure 
653 |a Retirement 
653 |a Demography 
653 |a Pensions 
653 |a Wages 
653 |a Public Finance 
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520 |a Austria has probably the world’s highest pension expenditures relative to its economic size, largely because of the generosity of its pension system. This paper examines the institutional setup of the Austrian pension system and projects its future development based on current policies. The projection results show a swift financial worsening. With the already high level of contribution rates, pension expenditures, and budget transfers, the results underscore the need for reform. Much of this reform can, however, be achieved by maintaining the structure of the system and adjusting some of its key parameters. The paper outlines options for such a reform