Assessing the sustainability of pension reforms in Europe: a pension wealth approach (2014)

Aaron G Grech


This Chapter tries to start answering the question of whether the pension reforms enacted in Europe since the 1990s will prove to be sustainable. This broad question has embedded in it both theoretical and empirical sub-questions. On the theoretical side, one needs to evaluate how best to measure pension adequacy, while also assessing the feasibility of evaluating jointly pension adequacy and financial sustainability. Once this is tackled, one needs to assess the possible impact of reforms on the capacity of pension systems to achieve their goals and the impact on the constraints that they face. This should help understand better any sources of possible pressures that could undermine the sustainability of pension reforms.

Chapter 7 (pp. 112-120) in "Pension adequacy and sustainability", 2014, Jozsef Meszaros (ed.), Budapest: Central Administration of National Pension Insurance Hungary.