Chapter

Integrating Payouts: Annuity Design and Public Pension Benefits in Mandatory Defined Contribution Plans

Olivia S. Mitchell and Kent Smetters

in The Pension Challenge

Published in print November 2003 | ISBN: 9780199266913
Published online August 2004 | e-ISBN: 9780191601323 | DOI: http://dx.doi.org/10.1093/0199266913.003.0005
 Integrating Payouts: Annuity Design and Public Pension Benefits in Mandatory Defined Contribution Plans

Show Summary Details

Preview

This chapter examines alternative annuity designs, and the interactions between annuity preference and publicly provided safety net support. It is shown that with a minimum pension guarantee, the variable annuity is the most preferred annuity. Inflation insured annuity products are popular among the rich and risk-averse. Non-life instruments are also popular, but are quite expensive for government revenue.

Keywords: retirement income; alternative annuity; consumer preference; public pension benefits; defined contribution plans

Chapter.  4635 words.  Illustrated.

Subjects: Financial Markets

Full text: subscription required

How to subscribe Recommend to my Librarian

Buy this work at Oxford University Press »

Users without a subscription are not able to see the full content. Please, subscribe or login to access all content.