Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/73709 
Year of Publication: 
2009
Series/Report no.: 
ifo Working Paper No. 76
Publisher: 
ifo Institute - Leibniz Institute for Economic Research at the University of Munich, Munich
Abstract: 
The statutory pension system is still the most important income source among seniorcitizens in Germany. Due to increasing disruptions in employment biographies since the1970s and due to the mass unemployment in Eastern Germany since the 1990s, there isa growing fear of post-retirement poverty in Germany. We develop a micro-simulationmodel to compare the distribution of statutory pension incomes for new retirees in 2020with those in 2004. The pension income distribution is calculated for Eastern andWestern Germany separately, for men and women, and for different skill levels.Throughout Germany, we find a growing post-retirement poverty, especially for lowskilledworkers. Eastern Germany will lose its current advantage in terms of highpensions and low inequality.
Subjects: 
Statutory pension system
old-age poverty risk
pension distribution
education
JEL: 
I32
J11
J14
Document Type: 
Working Paper

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