Annuity Markets and Retirement Security

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منابع مشابه

Annuity Markets and Retirement Security

* James M. Poterba is the Mitsui Professor of Economics at the Massachusetts Institute of Technology. Professor Poterba is also a Research Associate at the National Bureau of Economic Research (NBER) and the Director of the NBER's Public Economics Research Program. The research reported herein was supported in part by the Center for Retirement Research at Boston College pursuant to a grant from...

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Enhancing Retirement Security Through the Tax Code: The Efficacy of Tax-Based Subsidies in Life Annuity Markets

The under-development of existing annuity markets coupled with the secular trend away from traditional pensions towards defined contribution accounts in the U.S. raises significant concerns about the adequacy of retirement income for future retirees. We develop dynamic programming techniques to evaluate the efficacy of policies designed to address this concern by encouraging annuitization. Our ...

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National Annuity Markets FEATURES AND IMPLICATIONS

/RÉSUMÉ National annuity markets: features and implications This paper describes a number of national annuity markets, the types of products typically available, the demand for these products, the value for money on offer and the dynamics of the supply side. It explores supply and demand characteristics, asking what the main forces are that drive these dynamics and how they might be recognised ...

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Annuity Planning and Consumption-Investment Choices in Retirement Planning

Annuities can be effective tools in managing longevity risk in retirement planning. This paper develops a framework that merges annuity purchase decisions with consumption-investment selections. After introducing a pricing model and a benefit payment model for an annuity, we construct a multi-period wealth evolution model. An optimization problem is formulated with an objective of maximizing li...

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Adverse Selection in Annuity Markets: Evidence from the British Life Annuity Act of 1808

We study adverse selection using data from an 1808 Act of British Parliament that effectively opened a market for life annuities. Our analysis indicates significant selection effects. The evidence for adverse selection is strongest for a sub-sample of annuitants whose annuities were purchased by profit-seeking speculators, a sub-sample in which “advantageous selection” resulting from multi-dime...

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ژورنال

عنوان ژورنال: Fiscal Studies

سال: 2005

ISSN: 0143-5671

DOI: 10.1111/j.1475-5890.2001.tb00042.x