Social Security Pension Reform in China
18 Pages Posted: 4 Jul 2004 Last revised: 27 Jul 2022
Date Written: November 1998
Abstract
China has legislated a mixed social security pension system with a defined benefit pay-as-you-go portion and an investment-based defined contribution portion. This paper analyses the economics of these two types of systems in the Chinese context and calculates the advantage to China of using an investment-based portion. Several options for reform of the recently legislated system are considered.
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