scholarly journals Proposed Changes to Social Security: An Analysis

2011 ◽  
Vol 4 (2) ◽  
Author(s):  
Robert E. Pritchard ◽  
Gregory C. Potter
Keyword(s):  
Social Security ◽  
Interest Rates ◽  
Baby Boomers ◽  
Next Generation ◽  
Government Programs ◽  
Future Demands ◽  
Social Security Benefits ◽  
Retired Workers

Some 48 million Americans are expected to collect around $518 billion in Social Security benefits during 2005.  Of these, about 70 percent are retired workers.  The ratio of workers covered by Social Security to retirees is approximately three to one but will decrease to about two to one in the next generation.  Furthermore, at present, there are significantly more Social Security taxes collected than benefits paid; the excess is spent to help fund other government programs.  With the Baby Boomers starting to collect benefits in 2008 and large federal deficits already threatening to push interest rates higher, providing for future Social Security funding is being addressed.  This paper explores existing and future demands expected to be placed on Social Security and possible changes that may be implemented to ensure its long-term viability.

scholarly journals A Study on Labour Welfare Practices in Karnataka Soaps and Detergents Ltd, Bengaluru

2021 ◽  
Vol 9 (1) ◽  
pp. 38-46
Author(s):  
K B Ravindra
Keyword(s):  
Public Sector ◽  
Social Security ◽  
Industrial Relations ◽  
Well Being ◽  
Primary Data ◽  
The Public ◽  
Economy Globalization ◽  
Social Security Benefits ◽  
Structured Questionnaire

The importance of Labour Welfare in Industrialisation and Economic Development has been recognized globally. It is an important dimension in Industrial Relations, which includes overall welfare facilities designed to take care of well being of Employees and Workers. During the 1990s, the measures of economic reforms introduced in the country have given rise to a wave of rapid and radical changes in the structure and working of our economy. Globalization, Liberalisation, Privatisation, etc. have completely changed the functioning of the Indian Economy and forced the employees, workers, and their organizations to adapt and adjust by reorienting their ways to survive and thrive amidst the forces of change and competition. The aspect of Labour Welfare and Social Security has tremendous significance in the Public Sector, Private Sector and Multinational Organisations. It is firmly believed that money and environment given to employees is a long term investment and will never go waste. Against this backdrop, a detailed study has been conducted at Karnataka Soaps and Detergents Ltd, Bengaluru, a Public Sector Organisation. Primary data collected through a Structured Questionnaire from 100 respondents covering all levels and departments has revealed that most of the Labour Welfare and Social Security provisions are being satisfactorily provided by the company to its employees and workers. It is suggested that the company carefully look into those areas where employees/workers have expressed dissatisfaction. The article concludes by stating that if an organisation provides good welfare and social security benefits, then it will be able to procure and develop a unique pool of people who can continuously take the organization to new levels of growth and sustainability.

Does it pay to delay social security?

2013 ◽  
Vol 13 (2) ◽  
pp. 121-144 ◽  
Author(s):  
JOHN B. SHOVEN ◽  
SITA NATARAJ SLAVOV
Keyword(s):  
Social Security ◽  
Interest Rates ◽  
Real Interest Rate ◽  
Mortality Rates ◽  
Present Value ◽  
Actuarial Fairness ◽  
Low Interest Rates ◽  
Social Security Benefits ◽  
To Receive ◽  
Mortality Improvements

AbstractSocial Security benefits may be commenced at any time between ages 62 and 70. As individuals who claim later can, on average, expect to receive benefits for a shorter period, an actuarial adjustment is made to the monthly benefit to reflect the age at which benefits are claimed. We investigate the actuarial fairness of that adjustment in light of recent improvements in mortality and historically low interest rates. We show that delaying is actuarially advantageous for a large number of people, even for individuals with mortality rates that are twice the average. At real interest rates closer to their historical average, singles with mortality that is substantially greater than average do not benefit from delay, although primary earners with high mortality can still improve the present value of the household's benefits through delay. We also investigate the extent to which the actuarial advantage of delay has grown since the early 1960s, when the choice of when to claim first became available, and we decompose this growth into three effects: (1) the effect of changes in Social Security's rules, (2) the effect of changes in the real interest rate, and (3) the effect of changes in life expectancy. Finally, we quantify the extent to which the gains from delay can be expected to increase in the future as a result of mortality improvements.

scholarly journals Sind die Probleme der Bevölkerungsalterung durch eine höhere Geburtenrate lösbar?

2004 ◽  
Vol 5 (1) ◽  
Author(s):  
Barbara Berkel ◽  
Axel Börsch-Supan ◽  
Alexander Ludwig ◽  
Joachim Winter
Keyword(s):  
Social Security ◽  
Baby Boomers ◽  
Birth Rate ◽  
Labour Force ◽  
Transitional Period ◽  
Human Capital Formation ◽  
Medium Term ◽  
Baby Boomer Generation ◽  
The Social

AbstractCan the aging problem be solved by a higher birth rate? While the popular notion - ‘‘if we have too many elderly we need more children in order to compensate for this” - seems plausible, the results of economic theory are ambiguous at best. This paper employs a quantitative macroeconomic simulation model for Germany and leads to a more subtle view, stressing the importance of human capital formation for long-term economic growth in this context. Moreover, it takes a very long transitional period until a higher fertility rate results in a larger and bettereducated labour force that contributes to social security. Therefore, reforms of the social security system still have the highest priority because this is the only way to solve the problems of an aging baby-boomer generation in the short and medium term - meaning the time until the baby boomers will retire.

The Challenge

2019 ◽  
pp. 53-70
Author(s):  
William G. Gale
Keyword(s):  
United States ◽  
Social Security ◽  
Interest Rates ◽  
Baby Boomers ◽  
Healthcare Costs ◽  
The United States ◽  
Social Programs ◽  
Interest Payments

Chapter 3 outlines the fiscal challenge. Under current policies, the debt will rise from about 78 percent of GDP in 2018 to almost 180 percent by 2050. Social Security, Medicare, and Medicaid will grow as the baby boomers retire and healthcare costs will likely rise. Interest payments will rise with higher debt and higher interest rates. Other spending—defense, investment, social programs—will actually shrink relative to the economy. Taxes won’t grow as fast as overall spending, leaving a growing mismatch between what people expect from government and what they contribute. Considering both objective and subjective factors, the optimal debt-to-GDP ratio should be around 60 percent by 2050. That’s high relative to historical norms for the United States, but even so, reaching that goal that would require a 24 percent tax increase or a 21 percent spending reduction, starting in 2021. Delay raises the required adjustment.

Rewriting the contract? Conditionality, welfare reform and the rights and responsibilities of disabled people

2017 ◽  
pp. 135-148
Author(s):  
Peter Dwyer
Keyword(s):  
Social Security ◽  
Welfare Reform ◽  
Social Exclusion ◽  
Financial Support ◽  
Public Welfare ◽  
Disabled People ◽  
The Public ◽  
The Uk ◽  
Social Security Benefits

This chapter focuses on the rights and responsibilities of disabled people in the UK and the ways in which their rights to work and social security benefits have been subject to contestation and redefinition, particularly since the introduction of Employment and Support Allowance in 2008. In the past, both governments and citizens generally tended to support the claims of long-term sick and disabled people to social security benefits for two reasons. First, because disabled people fitted commonly held views about a legitimate need for provision of financial support and care through the public welfare system. Second, because the cause of their inactivity in the paid labour market was seen by many as being beyond their control. Disabled people have long challenged such discriminatory views and demanded the eradication of disabling attitudes and environments, so that they can realise effective rights to paid employment. Similarly, criticisms of the disabling welfare state and the role it has played in the systematic and entrenched social exclusion of disabled people in respect of their rights to work and welfare must be acknowledged.

scholarly journals Social Security Investment in Equities

2003 ◽  
Vol 93 (4) ◽  
pp. 1047-1074 ◽  
Author(s):  
Peter Diamond ◽  
John Geanakoplos
Keyword(s):  
Social Security ◽  
Interest Rates ◽  
Equity Premium ◽  
Short Term ◽  
Expected Return ◽  
Risky Investment ◽  
Asset Values ◽  
Aggregate Investment ◽  
Short Term Investment

This paper explores the general-equilibrium impact of social security portfolio diversification into private securities, either through the trust fund or private accounts. The analysis depends critically on heterogeneities in saving, production, assets, and taxes. Limited diversification weakly increases interest rates, reduces the expected return on short-term investment (and the equity premium), decreases safe investment, increases risky investment, and increases a suitably weighted social welfare function. However, the effects on aggregate investment, long-term capital values, and the utility of young savers hinges on assumptions about technology. Aggregate investment and long-term asset values can move in opposite directions.

scholarly journals An Assessment of the Proposals of the President's Commission to Strengthen Social Security

2002 ◽  
Vol 1 (1) ◽  
Author(s):  
Peter Diamond ◽  
Peter R. Orszag
Keyword(s):  
Social Security ◽  
The Other ◽  
Retirement Income ◽  
Trust Fund ◽  
The Social ◽  
The Individual ◽  
Social Security Benefits ◽  
The Impact ◽  
Individual Accounts

Abstract The President's Commission to Strengthen Social Security proposed three plans for reforming Social Security. All of them would create individual accounts financed by diverting funds from the Social Security Trust Fund. One of the three Commission proposals (Model 1) would not restore long-term balance to Social Security. This paper focuses on the other two proposals - Models 2 and 3 - which would restore long-term balance. Models 2 and 3 contain a number of elements and are quite complicated. To understand the plans, we describe their proposed changes to Social Security benefits (which we refer to as "traditional benefits"), the individual accounts that the plans would establish, the combined effect on retirement income from the changes in traditional Social Security benefits and the individual accounts, and the impact on Social Security financing and the rest of the budget.

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