Older and wiser?—when governments get it wrong on pensions reform
BLOG: Greater dependency ratios may imply pensions reform - but not that it be unfair. Europe is turning grey. By 2060 over a quarter of the EU’s population will be over 65. Ageing is accelerating as the baby-boom generation retires and average life-spans continue to increase.
But while most of us are celebrating the fact that people are living longer, healthier lives, demogaphers and officials in finance ministries fret that, on current trends, more of us could be eking out our longer retirements in poverty. The problem is that we are not saving enough. Aviva, an insurance company, estimates that Europeans needs to save an extra €2 trillion each year to close the ‘pensions gap’—the difference between what people need to save to ensure an... Read More