1. NCCU Academic Hub
  2. 學術產出
  3. College of Commerce
  4. Periodical Articles
  5. Item

學術產出-Periodical Articles

Article View/Open

Publication Export

Google ScholarTM

政大圖書館

Citation Infomation

題名 Measuring the consequences of pension reform applying liquidation and longevity considerations
作者 Hwang, Y.;Chang, Shih-Chieh
張士傑
貢獻者 風險管理與保險學系
日期 2012-09
上傳時間 12-May-2015 16:20:13 (UTC+8)
摘要 Around the world, the longer life expectancy of the population raises important questions for policy-makers about how citizens can maintain their basic standard of living after retirement. Pension schemes tend to be the major source of retirement incomes, at least, in the developed world. Facing this aging problem, the Taiwanese government offered persons insured under the Labor Insurance Pension Scheme the choice of whether or not to annuitize their retirement benefits from January 1, 2009. Following the implementation of this pension program, the insured may now select the old-age one-time benefit or a monthly pension benefit when they retire. The puzzle is that very few people would choose to annuitize their wealth in practice. This is contrary to the suggestions made by the financial literature. In this study, we apply the liquidity premium and the implied longevity yield (ILY) to compare the old-age one-time benefit with the monthly pension benefit. The results demonstrate that the ILY minus the risk-free rate is greater than the liquidity premium in most scenarios and these findings encourage the insured to choose the old-age pension benefit. This result is consistent with the financial literature. Moreover, we find that those insured with the lowest insurance salary and fewer years of coverage earn the highest ILY. This shows that the program has been designed with the purpose of wealth re-distribution. © 2012 Copyright Taylor and Francis Group, LLC.
關聯 Journal of Economic Policy Reform, Volume 15, Issue 3, 2012, Pages 243-255
資料類型 article
DOI http://dx.doi.org/10.1080/17487870.2012.696417
dc.contributor 風險管理與保險學系
dc.creator (作者) Hwang, Y.;Chang, Shih-Chieh
dc.creator (作者) 張士傑zh_TW
dc.date (日期) 2012-09
dc.date.accessioned 12-May-2015 16:20:13 (UTC+8)-
dc.date.available 12-May-2015 16:20:13 (UTC+8)-
dc.date.issued (上傳時間) 12-May-2015 16:20:13 (UTC+8)-
dc.identifier.uri (URI) http://nccur.lib.nccu.edu.tw/handle/140.119/75100-
dc.description.abstract (摘要) Around the world, the longer life expectancy of the population raises important questions for policy-makers about how citizens can maintain their basic standard of living after retirement. Pension schemes tend to be the major source of retirement incomes, at least, in the developed world. Facing this aging problem, the Taiwanese government offered persons insured under the Labor Insurance Pension Scheme the choice of whether or not to annuitize their retirement benefits from January 1, 2009. Following the implementation of this pension program, the insured may now select the old-age one-time benefit or a monthly pension benefit when they retire. The puzzle is that very few people would choose to annuitize their wealth in practice. This is contrary to the suggestions made by the financial literature. In this study, we apply the liquidity premium and the implied longevity yield (ILY) to compare the old-age one-time benefit with the monthly pension benefit. The results demonstrate that the ILY minus the risk-free rate is greater than the liquidity premium in most scenarios and these findings encourage the insured to choose the old-age pension benefit. This result is consistent with the financial literature. Moreover, we find that those insured with the lowest insurance salary and fewer years of coverage earn the highest ILY. This shows that the program has been designed with the purpose of wealth re-distribution. © 2012 Copyright Taylor and Francis Group, LLC.
dc.format.extent 398664 bytes-
dc.format.mimetype application/pdf-
dc.relation (關聯) Journal of Economic Policy Reform, Volume 15, Issue 3, 2012, Pages 243-255
dc.title (題名) Measuring the consequences of pension reform applying liquidation and longevity considerations
dc.type (資料類型) articleen
dc.identifier.doi (DOI) 10.1080/17487870.2012.696417
dc.doi.uri (DOI) http://dx.doi.org/10.1080/17487870.2012.696417