Comments on The Long-Term Financial Sustainability of the Civil Service Pension Scheme in Malaysia

2019 ◽  
Vol 18 (1) ◽  
pp. 180-182
Keyword(s):  
Civil Service ◽  
Pension Scheme ◽  
Financial Sustainability

The Long-Term Financial Sustainability of the Civil Service Pension Scheme in Malaysia

2019 ◽  
Vol 18 (1) ◽  
pp. 155-178
Author(s):  
Sheila Rose Darmaraj ◽  
Suresh Narayanan
Keyword(s):  
Civil Service ◽  
Pension Scheme ◽  
Retirement Age ◽  
Financial Sustainability ◽  
Defined Benefit ◽  
Contribution Rate ◽  
Replacement Rate ◽  
Deficit Model ◽  
Pension Payments

The civil service pension scheme (CSPS) in Malaysia is a defined benefit (DB), non-contributory system directly funded from the budget. An aging population, rising life expectancy, and ballooning pension payments underscore the need for reform. An annual pension deficit model was used to estimate the pension deficit over a period of 75 years under eight scenarios that compare the current scheme with changes in the pension deficit when three policy variables—retirement age, contribution rate, and replacement rate—are manipulated. We found the current scheme will not be financially sustainable. By increasing the retirement age, introducing employee contributions, and reducing the replacement rate, it is possible to delay the emergence of deficits and lengthen the period of sustainability of the scheme. However, a radical makeover is necessary to be fully sustainable and this might not be politically feasible.

Pension Reform in Russia: Assessing the Susceptibility of GDP Production to a Shift in the Number of the Working-Age Population

2019 ◽  
pp. 80-86
Author(s):  
T. P. Skufina ◽  
S. V. Baranov
Keyword(s):  
Pension Reform ◽  
Fixed Capital ◽  
Economic Effects ◽  
Pension Scheme ◽  
Retirement Age ◽  
Working Age ◽  
Working Age Population ◽  
Long Term Forecasting ◽  
The Impact

The presented study considers the susceptibility of gross domestic product (GDP) production to a shift in the number of the working-age population due to an increase in retirement age starting with 2019.Aim. The study aims to examine the quantitative assessments of GDP production in Russia with allowance for the changes in the number of the working-age population due to an increase in the actual retirement age.Tasks. The authors forecast the number of the working-age population with allowance for an increase in the retirement age; develop a model to establish a correlation between the number of the workingage population, investment in fixed capital, and GDP production; quantify the impact of the shift in the number of the working-age population on GDP production in Russia. Methods. This study is based on the results of modeling and long-term forecasting.Results. An economic-mathematical model to establish a correlation between the number of the working-age population, investment in fixed capital, and GDP production is presented. To specify the economic effects of a shift in the number of the working-age population due to an increase in the retirement age, Russia’s GDP production is forecasted for the “old” and “new” (increased retirement age) pension scheme. The forecast is provided for three variants of the number of the working-age population.Conclusions. It is found that with the “old” pension scheme with a lower retirement age GDP production across all three variants will decrease by 2036 compared to 2017. With regard to the “new” scheme that increases the retirement age, it is concluded that an increase in the retirement age is a factor that facilitates GDP production. However, its effect on economic growth will be insignificant.

Financial Sustainability and Infrastructure Finance

2018 ◽  
Author(s):  
Felipe Carvalho de Rezende
Keyword(s):  
Financial Institutions ◽  
Financial Stability ◽  
Global Financial Crisis ◽  
Financial Sustainability ◽  
Infrastructure Finance ◽  
Strategic Role ◽  
Development Banks ◽  
The Global Financial Crisis ◽  
Capital Development

Among the lessons that can be drawn from the global financial crisis is that private financial institutions have failed to promote the capital development of the affected economies, and to dampen financial fragility. This chapter analyses the macroeconomic role that development banks can play in this context, not only providing long-term funding necessary to promote economic development, but also fostering financial stability. The chapter discusses, in particular, the need for public financial institutions to provide support for infrastructure and sustainable development projects. It concludes that development banks play a strategic role by funding infrastructure projects in particular, and outlines the lessons for enhancing their role as catalysts for mitigating risks associated with such projects.

Healthcare in Cuba: Sustainability Challenges in an Ageing System

2021 ◽  
Vol 53 (1) ◽  
pp. 133-159
Author(s):  
Carmelo Mesa-Lago ◽  
Sergio Díaz-Briquets
Keyword(s):  
Healthcare System ◽  
Health Indicators ◽  
Population Ageing ◽  
Financial Sustainability ◽  
Physical Infrastructure ◽  
Sustainability Challenges

AbstractThis article assumes a balanced position between two contrasting views regarding the accessibility, quality, efficiency and financial sustainability of the Cuban healthcare system. It evaluates those issues in the 2006–20 period by identifying strengths and weaknesses based on a comprehensive statistical compilation of health indicators, physical infrastructure trends, availability of physicians and other elements to assess the system's long-term financial sustainability. Finally, it examines the likely consequences of population ageing on healthcare, including potential policies.

OPTIONS FOR ASSESSING THE SUITABILITY OF URBAN ENVIRONMENTAL ACUPUNCTURE

2021 ◽  
Author(s):  
Barbara Vojvodíková ◽  
Jiří Kupka ◽  
Adéla Brázdová ◽  
Radim Fojtík ◽  
Iva Tichá
Keyword(s):  
Climate Change ◽  
Assessment Tool ◽  
Mitigation Measures ◽  
Small Scale ◽  
Financial Sustainability ◽  
Technical Solution ◽  
The City

To increase their resilience to climate change, cities are looking to apply elements of urban environmental acupuncture. The essence of such measures is many smaller sites that is functioning as mitigation measures. Many of these small places then create a large overall effect. The advantage of these small-scale measures is that they can be in densely populated areas The assessment tool described in this paper is designed for city representatives and is an aid to assess the suitability of applying a particular measure based on the parameters described. The evaluation itself then helps to decide whether the solution is suitable for a particular site or whether any of the parameters need to be adjusted to make it suitable, or whether it would be appropriate to change the proposed solution. The intention of the evaluation is not to assess the technical solution but relies primarily on the location, long-term (especially financial) sustainability and acceptance by the citizens of the city. The paper presents an example of the application of the evaluation to four sites in city Liptovský Mikuláš, describing the results and identifying parameters that can be improved to ensure the urban environmental acupuncture is accepted by citizens and thus future-proofed.

A politico-economic perspective on financial sustainability

2014 ◽  
Vol 26 (1) ◽  
pp. 140-164 ◽  
Author(s):  
Tilman Slembeck ◽  
Armin Jans ◽  
Thomas Leu
Keyword(s):  
Financial Stability ◽  
Time Inconsistency ◽  
Financial Sustainability ◽  
Problem Of Time ◽  
Public Finances ◽  
Long Run ◽  
Maastricht Criteria ◽  
The Cost ◽  
Large Primary

Financial sustainability requires governments to run sufficiently large primary surpluses going forward to cover the cost of servicing its debt budgets to balance in the long run. In democracies, politicians who strive for reelection often tend to systematically violate this tenet. This paper discusses two types of “anchors” that may be used to cope with this problem by limiting the room for new and excessive public debt. First, we analyze national constitutional safeguards on the basis of the “debt brake” in Switzerland and Germany. Second, we discuss international institutions to maintain financial discipline, referring to the Maastricht-criteria. These anchors are designed to allow policymakers to commit to policies that provide long term financial stability and sustainability of public finances. However, as the recent crises have shown, the problem of time inconsistency in policy making remains, especially when anchors are weak. Therefore, the paper discusses the circumstances under which institutional anchors may help to restrict politician behavior to promote sustainability of public finances. We conclude by indentifying three conditions required for the proper functioning of collective anchors in the context of public finances.

Approaches to Determining the Financial Sustainability of the Region

2018 ◽  
Vol 6 (5) ◽  
pp. 50-53
Author(s):  
Рашад Ибрагимов ◽  
Rashad Ibragimov
Keyword(s):  
Sustainable Development ◽  
Financial Stability ◽  
System Approach ◽  
Regional Economy ◽  
Financial Sustainability ◽  
The Sustainable Development ◽  
Qualitative And Quantitative ◽  
Definition Of ◽  
Regional Authorities

The article examines the approaches to determining the financial stability of the region, which reveals the main essence of financial stability. Guided by the experience of leading researchers, the key determinations of financial sustainability and their factors based on which it is possible to prevent its crisis situations are explored. The article describes the methods of the system approach to the definition of financial stability, which reveal the signs of financial stability. The main groups of factors that affect the financial stability of the region are identified. Based on the conducted research, qualitative and quantitative parameters of financial stability factors that determine the sustainable development of the financial system are revealed. The results of the research have a practical value of research, which in the long term can be used by regional authorities to develop a strategy for sustainable development of the regional economy.

scholarly journals Civil Service Rules and Policy Choices: Evidence from US State Governments

2014 ◽  
Vol 6 (2) ◽  
pp. 338-380 ◽  
Author(s):  
Gergely Ujhelyi
Keyword(s):  
Twentieth Century ◽  
Civil Service ◽  
State Level ◽  
Policy Impact ◽  
State Governments ◽  
Policy Choices ◽  
Political Patronage

This paper studies the policy impact of civil service regulations, exploiting reforms undertaken by US state governments throughout the twentieth century. These reforms replaced political patronage with a civil service recruited based on merit and protected from politics. I find that state politicians respond to these changes by spending relatively less through the reformed state-level bureaucracies. Instead, they allocate more funds to lower level governments. The reallocation of expenditures leads to reduced long-term investment by state governments. (JEL D73, H72, H77, H79)

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