Pensions provision: analysis in the framework of public sector economics

This publication analyses the theoretical aspects of the old age pension systems reforms. Basic causes of crises of distributary system at the beginning of our century are considered, the necessity of distributary system as the basis of old age pension system is substantiated in the framework of market failures concept, social ethics and social psychology.

old age pensions provision, distributary system, funded system, dependency ratio, unexpected inflation, macroeconomic instability, transaction cost, asymmetric information