The US actuarial balance model for the pay-as-you-go system and its application to Spain

The aim of this paper is to formulate an approximation of the US actuarial balance model and apply it to the Spanish public retirement pension system under various scenarios in order to determine a consistent indicator of the system's financial state comparable to those used by the most advanced social security systems. This will enable us to answer the question as to whether there is any justification for reforming the pension system in Spain. This type of actuarial balance uses projections to show future challenges to the financial side of the pension system deriving basically from ageing, the projected increase in longevity and fluctuations in economic activity. If one is compiled periodically it can provide various indicators to help depoliticize the management of the pay-as-you-go system by bringing the planning horizons of politicians and the system itself closer together.

Pay-as-you-go social security and the distribution of bequests

This paper studies the impact of an unfunded social security system on the distribution of bequests in a framework where savings are due both by life cycle and by random altruistic motivations. We show that the impact of social security on the distribution of bequests depends crucially on the importance of the bequest motive in explaining savings behavior. If the bequest motive is strong, then an increase in the social security tax raises the bequests left by altruistic parents. On the other hand, when the importance of bequests in motivating savings is sufficiently low, theincrease in the social security tax could result in a reduction of the bequests left by altruistic parents under some conditions on the attitude of individuals toward risk and on the relative returns associated with private saving and social security. Some implications concerning the transitional effects of introducing an unfunded social security scheme are also discussed.

The impact on the stationary state income of a pay-as-you-go system of social security

A model of overlapping generations in continuous time is composed. IndividuaIs pass through two distinct time periods during their life times. During the first period, they work, save and have a death probability equal to zero. During the second, from the periods T after birth, their probability of death changes to p and then they retire. Capital stock and the stationary state in come are calculated for two situations: in the first, people live from their accumulated capital after retirementj in the second, they live from a state transfer payment through income taxo To simplify matters, in this preliminary version, it is supposed that there is no population growth and that the instantaneous elasticity substitution of consumption is unitary.

A Community Analysis of the Implementation for Household Curbside Recycling Programs: A Diversionary Method to Control Municipal Solid Waste

The Municipality of Anchorage (MOA) is required to better manage, operate and control municipal solid waste (MSW) after the Anchorage Assembly instituted a Zero Waste Policy. Two household curbside recycling programs (CRPs), pay-as-you-throw (PAYT) and single-stream, were compared and evaluated to determine an optimal municipal solid waste diversion method for households within the MOA. The analyses find: (1) a CRP must be designed from comprehensive analysis, models and data correlation that combine demographic and psychographic variables; and (2) CRPs can be easily adjusted towards community-specific goals using technology, such as Geographic Information System (GIS) and Radio Frequency Identification (RFID). Combining resources of policy-makers, businesses, and other viable actors are necessary components to produce a sustainable, economically viable curbside recycling program.

Comment réussir la tarification incitative au Québec : un outil pour les municipalités

L’objectif de cet essai est de démystifier la tarification incitative et de présenter un outil pratique pour l’implantation réussie d’un système de tarification incitative de la collecte municipale des matières résiduelles au Québec. Cinq sous-objectifs mènent à cette réponse : les raisons du non-emploi de la tarification incitative au Québec, l’analyse des cas à succès en Amérique du Nord et en Europe, l’identification des préalables nécessaires à l’implantation, les étapes opérationnelles de la mise en œuvre et la communication adéquate du processus. L’importance du sujet de cet essai découle des coûts de la gestion des matières résiduelles. Ils voient une augmentation constante due aux redevances à l’élimination et aux nouvelles méthodes de valorisation pour les matières organiques. Une mise à jour de la tarification municipale est donc indispensable. La tarification incitative est un outil efficace pour la réduction des matières résiduelles produites et enfouies ainsi que pour améliorer le taux de récupération résidentiel. De nombreux cas réussis existent en Amérique du Nord. Néanmoins, seulement deux municipalités québécoises utilisent ce système à présent. Des résultats trouvés indiquent qu’une tarification incitative fonctionnelle dépend de l’adaptation du système aux particularités de chaque municipalité. Ceci s’applique au choix du contenant de collecte, des modalités de la facturation et à l’élaboration de la grille tarifaire. En préparation du projet, il est important d’offrir le plus de services complémentaires que possibles afin d’inciter un taux de récupération maximal. Ces services comportent des outils pour le compostage maison, un écocentre pour apport de matières additionnelles ainsi que des collectes spéciales pour les matières organiques, les encombrants et les résidus de construction. Neuf étapes d’une implantation réussie ont été identifiées. La base de chaque projet de tarification incitative est une étude économique et logistique préalable qui permet l’élaboration du scénario choisi. Un projet pilote lancé dans un échantillon de la population aide ensuite à peaufiner la méthode. La préparation de l’appel d’offres et le vote du projet s'en suivent. La mise en œuvre présente un contact avec les citoyens lors de la distribution et mise à jour des contenants de collecte. Par la suite, la municipalité à l’option de commencer par un test à blanc avant d’introduire la tarification complète lors du lancement. Enfin, un suivi par bilans annuels publiés s’impose. Une communication adéquate avant, pendant et après l’implantation est indispensable. La réussite du projet est fortement améliorée par l’allocation d’un chargé de projet responsable dès le début et la portée du projet par les élus.

Waste prevention: policy instruments and business model innovation

Waste prevention (WP) is a strategy which helps societies and individuals to strive for sufficiency in resource consumption within planetary boundaries alongside sustainable and equitable well-being and to decouple the concepts of well-being and life satisfaction from materialism. Within this dissertation, some instruments to promote WP are analysed, by adopting two perspectives: firstly, the one of policymakers, at different governance levels, and secondly, the one of business in the electrical and electronic equipment (EEE) sector. At a national level, the role of WP programmes and market-based instruments (extended producer responsibility, pay-as-you-throw schemes, deposit-refund systems, environmental taxes) in boosting prevention of municipal solid waste is investigated. Then, focusing on the Emilia-Romagna Region (Italy), the performances of the waste management system are assessed over a long period, including some years before and after an institutional reform of the waste management governance regime. The impact of a centralisation (at a regional level) of both planning and economic regulation of the waste services on waste generation and WP is analysed. Finally, to support the regional decision-makers in the prioritisation of publicly funded projects for WP, a framework for the sustainability assessment, the evaluation of success, and the prioritisation of WP measures was applied to some projects implemented by Municipalities in the Region. Trying to close the research gap between engineering and business, WP strategies are discussed as drivers for business model (BM) innovation in EEE sector. Firstly, an innovative approach to a digital tracking solution for professional EEE management is analysed. New BMs which facilitate repair, reuse, remanufacturing, and recycling are created and discussed. Secondly, the impact of BMs based on servitisation and on producer ownership on the extension of equipment lifetime is analysed, by performing a review of real cases of organizations in the EEE sector applying result- and use-oriented BMs.

Estudo do paradigma: computação em nuvem

Na atual conjuntura económica, onde a globalização convive com a crise, as empresas confrontam-se com dois indeclináveis desafios, a expansão para novos mercados e a redução dos custos. A inevitabilidade de lidar com uma crescente quantidade de informação, na manutenção dos serviços prestados e na implementação de outros, obriga a uma sofisticada evolução dos meios informáticos. Para evoluir de forma pouco onerosa, é imprescindível a adoção de infraestruturas computacionais ágeis. Neste contexto emergem estratégias sustentadas na adoção do paradigma Computação em Nuvem (CN). Este paradigma sugere infraestruturas virtuais, escaláveis e com gestão automática de recursos, partilhadas no mesmo modelo de negócio. A forma de definir os custos, designada por pay as you go, é baseada no uso. Procurando garantir uma constante adaptação às exigências do negócio, a CN proporciona confiança e qualidade de serviço, reduzindo o risco associado ao lançamento de aplicações e o tempo de resposta. O objetivo deste trabalho é estudar o paradigma CN e perscrutar a sua projeção num futuro próximo, analisando as suas vantagens e inconvenientes. Nesse âmbito, é proposta uma arquitetura para integrar equipamentos de bilhética empregues para, designadamente, vender, validar e fiscalizar títulos de transportes. Para avaliar a arquitetura proposta foi implementado um demonstrador na plataforma Windows Azure.

Municipal solid waste management system: decision support through systems analysis

Thesis submitted to the Universidade Nova de Lisboa, Faculdade de Ciências e Tecnologia for the degree of Doctor of Philosophy in Environmental Engineering

Taxes and labor supply: Portugal, Europe, and the United States

I relate hours worked with taxes on consumption and labor for Portugal, France, Spain, United Kingdom and United States. From 1986 to 2001, hours per worker in Portugal decreased from 35.1 to 32.6. With the parameters for Portugal, the model predicts hours worked in 2001 with an error of only 12 minutes from the actual hours. Across countries, most predictions differ from the data by one hour or less. The model is not sensible to special assumptions on the parameters. I calculate the long run effects of taxes on consumption, hours, capital and welfare for Portugal. I extend the model to discuss implications for Social Security. I discuss the steady state and the transition from a pay-as-you-go to a fully funded system.

Pension reform in a rapidly ageing country: the case of Ukraine

Ukraine has a rapidly ageing and declining population. A dynamic forward-­looking Computable General Equilibrium (CGE) model with an explicitly modelled Pay‐As‐You-­Go pension scheme is constructed to perform simulations of different pension reform scenarios and investigate the impact of population ageing on a wide range of macroeconomic variables. It is shown that, changes in age structure will result in a significant negative impact on the economy and stability of the pension system. Analysis of the potential changes to the pension system is limited to modelling an increase of the pension age, keeping either the workers’ contribution rate or replacement rate constant.

The Farm, the city, and the emergence of social security

We study the social, demographic and economic origins of social security. The data for the U.S. and for a cross section of countries suggest that urbanization and industrialization are associated with the rise of social insurance. We describe an OLG model in which demographics, technology, and social security are linked together in a political economy equilibrium. In the model economy, there are two locations (sectors), the farm (agricultural) and the city (industrial) and the decision to migrate from rural to urban locations is endogenous and linked to productivity differences between the two locations and survival probabilities. Farmers rely on land inheritance for their old age and do not support a pay-as-you-go social security system. With structural change, people migrate to the city, the land loses its importance and support for social security arises. We show that a calibrated version of this economy, where social security taxes are determined by majority voting, is consistent with the historical transformation in the United States.

Mainmise sur l'état social : mobilisation patronale et caisse de compensation en Suisse (1908-1960)

Qui sait qu'en Suisse, les associations patronales mettent en oeuvre l'Etat social ? Qui sait que associations organisent la majorité des caisses de compensation, dont la fonction principale est de collecter les cotisations et de payer les rentes de l'Assurance-vieillesse et survivants ? Qui connaît ces caisses par lesquelles transitent les milliards de l'Etat social ? L'objectif de cette thèse consiste à comprendre les raisons qui ont poussé le patronat helvétique à mettre en oeuvre les politiques de protection sociale, dont il a pourtant toujours essayé de limiter le développement. Résoudre ce paradoxe implique de se pencher sur près d'un siècle d'histoire mêlée du patronat et des politiques sociales. Ce travail retrace, sur la base d'archives privées et publiques souvent inédites, les raisons qui ont poussé les patrons à créer les premières caisses de compensation dans l'entre-deux-guerres, puis à imposer cette forme d'organisation pour l'aide aux soldats mobilisés (autour de 1940) et l'Assurance- vieillesse et survivants (autour de 1948). Il étudie également comment les associations patronales sont parvenues à défendre leurs caisses jusqu'à aujourd'hui, contre ceux qui dénonçaient l'irrationalité de l'existence d'une centaine de caisses de compensation publiques et privées concurrentes pour mettre en oeuvre un seul système d'assurances sociales. Cette recherche amène deux grands résultats. D'une part, elle propose une histoire originale des politiques sociales en Suisse. Le prisme des caisses de compensation patronales contribue en effet à interroger notre compréhension de l'histoire des politiques de protection sociale, dans laquelle on sous-estime parfois l'importance des conflits pour fixer les frontières entre formes de protection publique et privée. D'autre part, ce travail présente une histoire inédite de l'action collective des patrons dans les régulations du travail au sens large. A travers les caisses de compensation, c'est en effet à réaliser une histoire de l'Union centrale des associations patronales suisses que je me suis aussi attelé. Faute de parvenir à empêcher tout développement des politiques sociales, les patrons ont fait en sorte d'acquérir sur ces politiques une forme de mainmise. Entre histoire des politiques sociales et histoire du patronat, ce travail tente d'expliquer comment les caisses de compensation y ont contribué. Who knows that, in Switzerland, employers' associations implement the best known policies constituting the welfare state? Who knows that the equalization funds, (Caisses de compensation / Ausgleichskassen), organized by employers' associations or by the Swiss Cantons, are responsible for pooling payroll deductions and for paying benefits of the Swiss public pay-as-you-go, old-age insurance and many other branches of the welfare policies? Who knows these caisses de compensation that channel the monies dedicated to the financing of the Welfare state ? The main objective of this research is to understand the reasons why Swiss employers do implement such welfare policies that they usually reject for political reasons. In order to solve this puzzle, this research investigates half of a century of the connected histories of welfare policies and employers' collective action. It also investigates, based on public and private archive records, how employers founded the first caisses in the Interwar period, and imposed them to organize the main developments of the Welfare state during the Second World War. The research also underlines how employers defended their caisses de compensation against those questioning the rationality of this fragmented system aiming to implement one single set of public welfare through one hundred competing private and public caisses de compensation. This research highlights two main results. On the one hand, it helps to improve our understanding of the history of the welfare policies in Switzerland. Underlining the role of the caisses de compensation helps to highlight the importance of the interplay of public and private actors regarding social polices. On the other hand, this research charts a pioneering history of Swiss' employers' collective action regarding labor issues. Because they could not prevent all public welfare policy, employers achieved a form of stranglehold (mainmise) on the welfare State. Halfway between social policy and employers' associations' history, this research try to reveal how their caisses de compensation helped them in this objective.

Social Security in Theory and Practice (II): Efficiency Theories, Narrative Theories, and Implications for Reform

166 countries have some kind of public old age pension. What economic forces create and sustain old age Social Security as a public program? Mulligan and Sala-i-Martin (1999b) document several of the internationally and historically common features of social security programs, and explore "political" theories of Social Security. This paper discusses the "efficiency theories", which view creation of the SS program as a full of partial solution to some market failure. Efficiency explanations of social security include the "SS as welfare for the elderly" the "retirement increases productivity to optimally manage human capital externalities", "optimal retirement insurance", the "prodigal father problem", the "misguided Keynesian", the "optimal longevity insurance", the "government economizing transaction costs", and the "return on human capital investment". We also analyze four "narrative" theories of social security: the "chain letter theory", the "lump of labor theory", the "monopoly capitalism theory", and the "Sub-but-Nearly-Optimal policy response to private pensions theory". The political and efficiency explanations are compared with the international and historical facts and used to derive implications for replacing the typical pay-as-you-go system with a forced savings plan. Most of the explanations suggest that forced savings does not increase welfare, and may decrease it.

Altruism, uncertain lifetime and the distribution of wealth

This paper studies the dynamics of the distribution of wealth in ageneral equilibrium framework. It considers an overlapping generationsmodel with production and altruistic preferences in which individualsface an uncertain lifetime and annuity markets do not exist. Thispaper focuses on the role that accidental bequests, voluntary bequests,and non--negativity constraints on bequests play in the dynamics of thedistribution of wealth. It is proved that the equilibrium interestrate is lower than the one that satisfies the modified goldenrule. In this economy, a social security system not only plays aninsurance role, but also prevents capital overaccumulation. In fact,this paper shows that a pay--as--you--go social security systemdecentralizes the social planner solution as a competitive equilibrium.