Chile fact of the day

Percentage of Chileans retiring over the next thirty years who are expected not to save enough to participate in Chile’s privatized social security plan:

"almost fifty."

By the way, they are all likely to receive governmental welfare of some kind.  Don’t think that social security privatization in the U.S. will eliminate a comparable issue closer to home.  Of course we are a wealthier country but we also have higher standards for treating our elderly.  If you favor privatization, you favor in reality privatization plus a supplemental support system from some level of American government; add this into your costs.  Read Will Wilkinson on this point.

Here is the on-line version of the Chilean article, read here also.  Both pieces provide good coverage of the Chilean experience, and in my view a balanced treatment.  Read also my earlier post on the preconditions for successful Chilean reform.


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