Defined Contributions from Workers, Guaranteed Benefits for Bankers: The World Bank's Approach to Social Security Reform

Publication Date: July 2002

Publisher: Center for Economic and Policy Research

Author(s): Dean Baker; Debayani Kar

Research Area: Banking and finance

Keywords: Privatized systems; Tax revenues; Administrative costs

Type: Report

Coverage: United States

Abstract:

The world has promoted the partial or complete replacement of the Social Security system with a system of individual accounts. This paper compares the administrative costs associated with individual accounts, measured as a share of contributions to the system, with the costs of operating an efficient Social Security system.