The establishment of individual accounts is the landmark events for China officially shift from pay-as-you-go pension system to partly funded system. But the process of running personal accounts at the same time also ...The establishment of individual accounts is the landmark events for China officially shift from pay-as-you-go pension system to partly funded system. But the process of running personal accounts at the same time also exposed various drawbacks. On the macro level, there is a growing gap between the nominal amount of personal account and the actual accumulated amount, which means the personal account is empty, the personal accounts are being questioned, and the scholars began to seek other solutions. NDC scheme came into being. specific empirical work has been done by using the actuarial model of pension income and expenditure to predict whether NDC is superior to FDC in financial cost by comparing the institutional cost of FDC and NDC from 2015 to 2050. Finally, this paper draws a conclusion that the nominal account system can be used as a choice route for the basic pension system for urban workers in the next 30 years with the assist of relevant supporting measures.展开更多
文摘The establishment of individual accounts is the landmark events for China officially shift from pay-as-you-go pension system to partly funded system. But the process of running personal accounts at the same time also exposed various drawbacks. On the macro level, there is a growing gap between the nominal amount of personal account and the actual accumulated amount, which means the personal account is empty, the personal accounts are being questioned, and the scholars began to seek other solutions. NDC scheme came into being. specific empirical work has been done by using the actuarial model of pension income and expenditure to predict whether NDC is superior to FDC in financial cost by comparing the institutional cost of FDC and NDC from 2015 to 2050. Finally, this paper draws a conclusion that the nominal account system can be used as a choice route for the basic pension system for urban workers in the next 30 years with the assist of relevant supporting measures.
