Similar Solutions to Similar Problems?

A distributive analysis of the Italian and German pension reform trajectories against the backdrop of the OMC

Master's Thesis , 2009 , 59 Pages , Grade: 18,5/20

Politics - Topic: European Union

This Master Thesis provides a cross-country comparison of the German and Italian pension reform trajectories between 1989 and 2008 against the backdrop of the Open Method of Coordination in the field of old-age social security. Starting from the observation that, at the end of the 1980s, Italy and Germany faced similar challenges related to the long-term financial sustainability of their respective pension system, this study highlights the social implications of the reform strategy adopted in each country. More precisely, the issue of pension reform is approached form a distributive angle, building on the work of both Camila Arza on the new distributional principles of contemporary pension policies and of John Myles on the issue of intergenerational fairness with respect to old-age social security reform.
The Italian and German pension reform trajectories are dealt with in separate chapters, focusing on the way in which the subsequent reform packages affected the social distribution of rights, resources and risks associated with old-age as well as on the way in which the costs of the reform are apportioned between generations. The conclusion provides for a comparison between the two reform trajectories studied. It highlights some remarkable similarities at the level of the architectural design of the two pension systems as well as with respect to the introduction of self-adjusting mechanisms within the annuity formula but also stresses the obvious differences between the reform strategies implemented over the last two decades, in
particular with regard to the issue of collective burden sharing between generations.

Inhaltsverzeichnis (Table of Contents)

• Introduction
• Theoretical Framework
• Distributive Pension Policies
• Intergenerational Fairness and Old-Age Social Security
• The Italian Pension Reform Trajectory
• The Pre-Reform Situation
• The 1992 Reform
• The 1995 Reform
• The 2004 Reform
• The German Pension Reform Trajectory
• The Pre-Reform Situation
• The 1992 Reform
• The 2004 Reform
• Conclusion
• Similarities
• Differences

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This thesis aims to provide a comparative analysis of pension reform trajectories in Italy and Germany, focusing on their distributive effects and the implications for intergenerational fairness. The study examines how the reforms impacted the social distribution of rights, resources, and risks associated with old-age and the allocation of reform costs between generations. Key themes explored in this thesis include:

• The long-term financial sustainability of pension systems
• Distributive principles of contemporary pension policies
• Intergenerational fairness in old-age social security reform
• Social implications of pension reform strategies
• The role of the Open Method of Coordination in pension reform

Zusammenfassung der Kapitel (Chapter Summaries)

The thesis examines the Italian and German pension reform trajectories in separate chapters, focusing on the social distribution of rights, resources, and risks associated with old-age and the apportionment of reform costs between generations. The chapter on the Italian pension reform trajectory explores the pre-reform situation, analyzing the challenges faced by the Italian pension system before the reforms of the 1990s. It then delves into the key features of the 1992, 1995, and 2004 reforms, examining their impact on the social distribution of benefits and the allocation of reform costs between generations. The chapter on the German pension reform trajectory follows a similar structure, analyzing the pre-reform situation, the 1992 reform, and the 2004 reform, exploring their implications for the social distribution of rights, resources, and risks associated with old-age and the burden-sharing between generations.

Schlüsselwörter (Keywords)

This thesis explores the key themes of pension reform, distributive justice, intergenerational fairness, and the Open Method of Coordination in the context of the Italian and German pension systems. It examines the social implications of pension reform strategies and the allocation of reform costs between generations, using a comparative approach to analyze the similarities and differences between the two reform trajectories.

• College: Vrije University Brussel
• Course: Master Thesis submitted within the Subject of EU Social and Educational Policies
• Grade: 18,5/20
• Author: Steven Engels (Author)
• Publication Year: 2009
• Pages: 59
• Catalog Number: V136897
• ISBN (eBook): 9783640456239
• ISBN (Book): 9783640455959
• Language: English
• Tags: EU Social Policy, Open Method of Coordination, Pension Reform, Italy, Germany, Social Security, Distributive analysis, Intergenerational equity, Intragenerational fairness, Notional Defined Contribution, Sozialpolitik, Rentenreform, Pensions, Social Policy, EU, Welfare, Government, Social Services, Politics, Comparative, Current, Affairs, Riester, Dini, Amato, PAYGO, multi-pillar, Generation, Reform, European, Union, OMC, Pension, Defined-Benefit, Defined-Contribution, Renten, Old, Age, Social, Policy