Macroeconomic Monitor

2012.11.30

The Failure of the Pay-as-you-go Pension System *

Nowadays, most countries are dominated by the so-called pay-as-you-go (PAYG) pension system, called in Bulgarian “expenditure-covering”. The principle of PAYG is simple: the pensions of today's retirees are paid for with a portion of the taxes collected from the working population

More »