CHALLENGES REGARDING FUTURE SUSTAINABILITY OF PENSIONS
CHALLENGES REGARDING FUTURE SUSTAINABILITY OF PENSIONS

Summary/Abstract: The quality of public finance (QPF) is a multidimensional concept. It may be regarded as representing all the arrangements and operations regarding the financial politics that sustain the macroeconomic objectives, particularly the long-term economic growth. Financial policies at European level highlight the fact that a concentration of the public expenses in areas that stimulate the economic growth and a more efficient use of the public resources are key methods for sustaining the economic growth. The empirical proofs seem to support the assumption according to which certain types of public expenses can supply incentives and other can negatively influence the economic growth. The role of governments should also be related to social security sustainability and also to public pensions sustainability. There is a growing literature which supports the pension reform as a solution for the latest demographic trends. Some recent analyses though, outlined the negative influence of the financial crisis on the promised returns of private pension funds. The authors make a personal analysis, taking into consideration both point of views.

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