RESEARCH AND COMMENTARY
Barry P. Bosworth and Rosanna Smart, November 18, 2009, Center for Retirement Research at Boston College
Barry Bosworth and Rosanna Smart explore the consequences of the housing price bubble and its collapse for the wealth of older households, utilizing micro survey data to follow the rise in home values to 2007 and observing which households enjoyed home price appreciation and how they responded in terms of equity withdrawal. The authors conclude that while older households mitigated their real estate and equity losses with relatively stable fixed-value assets and pension programs, they also lost much of their presumed gains relative to earlier cohorts, and they will have less time to recover. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, November 13, 2009, The Brookings Institution
The Pension Benefit Guaranty Corporation (PBGC), which protects the pensions of 44 million workers, announced a $22 billion deficit for fiscal year ending September 2009. Douglas Elliott analyzes the three main reasons for the PBGC’s financial troubles, and cautions that there are serious structural problems within PBGC that cannot be blamed on the financial crisis. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, July 29, 2009, The Brookings Institution
The Senate is introducing legislation to reform the Pension Benefit Guaranty Corporation (PBGC), which currently protects the pensions of nearly 44 million American workers and retirees. The PBGC is simply too large, complex, and important to maintain its current governance system, according to Douglas Elliott. With the PGBC chronically underfunded, and a deficit that could rise to $100 billion over time, Elliott says one useful step would be to increase the effectiveness of its Board of Directors, making it more in line with other public sector corporations. Read More
VIDEO
Douglas J. Elliott, July 27, 2009
The Pension Benefit Guaranty Corporation ensures the retirement funds of nearly 44 million American workers and retirees, and now plans to assume responsibility for the pension plans of 70,000 GM workers. Lawmakers are concerned about PBGC's growing deficit, which has tripled to roughly $33.5 billion in six months. Douglas Elliott says they have good reason to be worried, given the current economy.
PAST EVENT
Thursday, July 16, 2009
10:00 AM to 12:00 PM
Washington, DC
On July 16, the Retirement Security Project and the Urban-Brookings Tax Policy Center hosted Australian Assistant Treasurer Nick Sherry, to discuss the Superannuation Guarantee- Australia's mandatory retirement savings system- and its relevance to American policy-makers. Read More
BOOK
William G. Gale, J. Mark Iwry, David John and Lina Walker, July 01, 2009
Automatic argues for a fresh approach to increase saving, simplify retirement planning, and help manage the risks associated with today's individual account environment. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, June 04, 2009, The Brookings Institution
The Pension Benefit Guaranty Corporation’s deficit tripled over the last six months and could top out at more than $100 billion. According to Douglas Elliott, this accelerated loss is the result of a combination of factors, including the PBGC’s inability—thanks to Congress—to charge premium rates that would cover its risk, and the investment and funding choices made by the companies that sponsor the pension plans insured by the PBGC. Is another massive bailout in store? Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, May 29, 2009, The Brookings Institution
General Motors has filed for bankruptcy, and one of many questions is what will happen to its pension promises, which are underfunded by $20 billion. Douglas Elliott says GM is very likely to continue to shoulder the full obligations after restructuring, rather than passing them to the Pension Benefit Guaranty Corporation and taxpayers—for now. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, May 20, 2009, Center On Federal Financial Institutions
As Chrysler and GM face bankruptcy proceedings and restructuring, the Senate held a hearing on whether the Pension Benefit Guaranty Corporation (PBGC) has the capacity to insure the pensions of nearly 44 million Americans who work or have worked at those firms. Douglas Elliott explores the particulars of the PBGC, the precarious situation that the automotive industry finds itself in, and offers 14 possible solutions to the problems that plague the government’s pension program. Read More
VIDEO
Henry J. Aaron, May 14, 2009
The latest report on the solvency of the Social Security and Medicare trust funds reveals that these entitlement programs will likely run out of money sooner than expected. Senior Fellow Henry Aaron assesses the future of these two programs.
PAST EVENT
Monday, May 04, 2009
9:00 AM to 11:00 AM
Washington, DC
More low-income families now need assistance on how to find financial vehicles that will allow them to more effectively manage debt, savings and their financial lives. Brookings hosted a discussion on how recommendations from Insufficient Funds: Savings, Assets, Credit, and Banking among Low-Income Households—a new book edited by Rebecca M. Blank and Michael S. Barr—might be realized in this current economic environment. Read More
PAST EVENT
Friday, March 20, 2009
8:50 AM to 04:30 PM
Washington, DC
On March 20, the Brookings Institution; the Wharton School's Pension Research Council and Boettner Center; the University of Michigan Retirement Research Center; and The Retirement Security Project co-sponsored a conference on financial literacy and retirement preparedness. The keynote address was given by Michael Astrue, commissioner of the Social Security Administration.
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RESEARCH AND COMMENTARY
Henry J. Aaron, January 29, 2009, The Fiscal High Road
Despite criticism of the Social Security Act, and it's application to twenty fist century America, Henry Aaron believes that those views are wrong. In broad outline, he says, the system is sound, sensibly designed, and affordable though some changes are now desirable, and that others will, and should, be made as economic and political conditions warrant. But he urges, they should affirm and strengthen the system, not scale it back or repeal it. Read More
RESEARCH AND COMMENTARY
William G. Gale and Benjamin H. Harris, December 08, 2008, Tallahassee Democrat
Innovative and sound tax policy may be one way out of our financial rut, argue Bill Gale and Ben Harris. An effective tax code can buoy an economic recovery; down the road, taxation can help achieve the Obama administration's goals in health care, in energy policy and, ultimately, for fiscal balance. Read More
RESEARCH AND COMMENTARY
Jeffrey R. Kling, Jeffrey R. Brown, Sendhil Mullainathan, Garth R. Wiens and Marian V. Wrobel, October 31, 2008, The Brookings Institution
In this paper, Jeffrey R. Brown, Jeffrey R. Kling, Sendhil Mullainathan, Garth R. Wiens and Marian V. Wrobel test the relative effectiveness of their two framing contexts for life annuities when different reference points are introduced, testing for loss aversion in both investment and consumption frames. Read More