• Korean Journal of Social Welfare
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• v.62 no.2
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• pp.329-348
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• 2010

Following the welfare state typology well known, the typology in terms of individual system in welfare state has been widely examined and, pension which is the biggest and most important in welfare state has been classified into Beveridge and Bismarckian types based on their pension system design. Such typology focused on benefit type or size of private pension has been recently refined to add a new type - 'Bismarckian Lite' type - in addition to traditional Beveridge and Bismarckian types. Whereas the pension reforms in the developed countries has been changes within their pension regimes, the Korean pension reform in 2007 seems to have changed the existing social insurance type into the 'Bismarckian Lite' type. However, considering the immaturity of Korean pension regime, it is difficult to conclude the existing status of the Korean pension regime and, the Korean one can be classified into a multi-pillar one. Over the last decades the developed countries have increased the size of private pension regardless of their original pension regimes, which tends to converge into multi-pillar schemes. Accordingly, there is recently a new typology focused on the degree of regulation in terms of private pensions, which seems to be the better perspective. It will be more important how to regulate the (immature) occupational pension as well as the National Pension in Korea. Considering that old age income security in countries where the public regulation regarding private pension was absent has been deteriorated, it would be necessary to strengthen the role of government to effectively regulate private pension.

• Korean Journal of Social Welfare Studies
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• v.42 no.4
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• pp.263-293
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• 2011

There have been many studies on the relationship between welfare states and the poverty. Yet, only a few studies have been addressed the poverty alleviation effect of public pension using difference in difference(DID). This study aims to analyze poverty alleviation effect for the old aged of public pension in 10 OECD countries using DID considering welfare states regimes. The empirical analyses are based on panel data of individuals aged 50 and over from two sources: SHARE in Europe(wave I~II) and HRS in USA(2004~2006). As a result of simple DID, this study provides evidence that the poverty rate of the old aged who has not been received the pension is increased, while the poverty rate of pensioner is sharply decreased. The anti-poverty effect of public pension using DID is 45.6% which is bigger than that of pre/post approach. The policy impact used by pre/post approach in conservative welfare regime is underestimated while those in liberal and socialist regime are overestimated. In last, GDP growth rate has not significant while public pension contributes to poverty alleviation effects of the old aged. Poverty alleviation effects of public pension are also varied with welfare state regimes. The poverty alleviation effects of public pension in conservative welfare and social democratic welfare state regime are significantly bigger than that in liberal welfare state regime.

• 한국사회정책
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• v.23 no.2
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• pp.1-24
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• 2016

This paper examines whether the pension systems of the western countries which was traditionally classified into the Beveridgean and Bismarckian pension regime will converge after recent pension reforms in the financial sustainability and adequacy perspective by comparing between UK, Germany and Sweden. As a result of pension reforms for the last 20 years, the gap between the Beveridgean and Bismarckian pension regime will be likely to decrease and, in particular, the tendency to convergency in adequacy is found. Even though it is not jumped to a conclusion that public pension expenditure between the three countries is likely to converge, the tendency to convergency in financial sustainability is also found if the difference of demographic aging between countries is considered. The paper suggests that it is necessary to make agreement between the range of pension expenditure and replacement ratio that western countries suggest in pension debate in Korea, instead of hitherto useless controversy between financial sustainability and adequacy.

• Korean Journal of Social Welfare Studies
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• v.42 no.1
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• pp.333-370
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• 2011

This study views the aged inequalities according to the inequality hypothesis of the life course perspective in OECD 10 countries. Focusing on educational level which is early social status and welfare state regime which is social structure factors of inequality, this study analyzes income inequality for the aged who have transformed into old age period from non-aged period. The analysis is based on the data SHARE of Europe and HRS of USA. The main results of this study are summarized in four points. First, the income inequality is quite high by welfare system and the educational level. Second, the income inequality is somewhat reduced in case the people move from the period of non-aged to the period of aged. However, gini coefficient is still high(0.475). Considering welfare state regimes, although the income inequality is high in conservative regime of non-aged period, this would be higher in aged period. This result supports cumulative advantages/disadvantages hypothesis. The liberal regime remains high income inequality which supports the theoretical argument of status maintenance. Social democratic regime provides evidence to offer some support for the status leveling hypothesis. In there, income inequality is lower in aged period even though income inequality of non-aged period is low. Third, the cumulative advantages/disadvantages of disposable income according to educational level are strengthened and heterogeneity is grown in case people transition from the late period of non-aged to aged period. But public pension has been more equally distributed than gross income. Fourth, seeing welfare state regimes, public pension of aged-period is more inequally distributed than that of non-aged period in liberal and conservative regime. Specially in conservative regime, inequality of gross income is very high and public pension is also inequally distribute So this might show that the social security system strengthens the cumulative advantages/disadvantages. However, in the social democratic regime, public pension is more equally distributed than gross income and it could be much more equally distributed in aged period, which can support the status leveling hypothesis.

• Environmental and Resource Economics Review
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• v.13 no.3
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• pp.417-440
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• 2004

For the behavior of the wholesale spot price, a regime switching model with time-varying transition probabilities was estimated using the data from the PJM (Pennsylvania-New Jersey-Maryland) market. By including the temperature as an explanatory variable in the transition probability equations, the threshold effect of changing regime is clearly enhanced. And hence the predictability of the price spikes was improved. This means that the model showed a very clear threshold effect, with a low probability of switching for low loads and low temperatures and a high probability for high loads and high temperatures. And temperature showed a clearer threshold effect than load does. This implies that weather-related contracts may help to hedge against the risk in the cost of buying electricity during a summer.

• 한국노년학
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• v.29 no.2
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• pp.563-578
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• 2009

Public pension system of western welfare states has been maintained by transfers of public resources between working-age population and old-age population. But population aging cause the problem of fiscal burden on pension financing, so cutback on public spending for the elderly has been on the issue at public agenda. The argument on public spending for the elderly is more aggressively proceeded in the United States than any other welfare states. The argument is concerned with the problems of generation and is going under the rhetoric name of 'Generational Equity' which contends unequal distribution of social resources such as federal budget within generations. This article analyzes the background of 'Generational Equity' perspective and the reason why that argument is actively going forward in the U. S. and political-economy context of that argument. Generational Equity perspective contends that the elderly are getting more benefits and high spending on the elderly has contributing to the rising poverty rate of children. But there are lots of objection to this perspective on the ground that the perspective has weak positive evidences. The reason that 'Generational Equity' perspective has the power only in the U. S. but other welfare states is mainly due to that pluralistic political regime and selective welfare system. This research presents that political-economy meaning of 'Generational Equity' perspective is related to the political regime and welfare system of the society itself. And this research has the implication that our society having a selective welfare system would take a risk of encountering 'Generational Equity' social debate in the near future.

• 한국사회정책
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• v.25 no.4
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• pp.3-38
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• 2018

This study aims to analyse the redistributive impact of the welfare state growth in Korea after 2000s and establish whether there are people excluded from the benefits of the growth. The growth of the Korean welfare state has been achieved by universalizing welfare benefits under the social insurance-centered institutions which are the legacies of the productivist/developmental welfare regime. When it comes to redistribution impacts, the welfare state growth improved inequality among old age populations to a certain degree due to the introduction of the Basic Pension. On the other hand, welfare benefits for the working poor population has hardly been improved in spite of the growing welfare state. It can be said, therefore, that low-income working-age populations have been excluded from the growth of Korean welfare state. These groups are mostly in middle-old age, unemployed or precariously employed and half of them were female householders. The exclusion of these groups from the Korean welfare state shows that the growth of the Korean welfare state was unbalanced. To include the excluded into the Korean welfare state, it is necessary to increase non-insurance social provisions, extend the range of application of the social insurances, integrate income protection, employment service, and vocational training for the working poor, and combine universal and targeted welfare benefits.

• 한국사회정책
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• v.23 no.1
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• pp.95-123
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• 2016

As Korean society grows rapidly older, a systematic analysis of the determinants of labor supply behavior among the elderly becomes a prerequisite for designing more effective senior employment policies and income security regime for the elderly. Literatures review shows that a majority of previous researches have been ignoring the problem of "endogenous predictor" especially when it comes to the estimation of the effects of the two key variables, education and non-labor income, on labor supply decisions among older people. They have failed to take into consideration the unobserved heterogeneities which might affect both labor supply decisions of the elderly and their levels of education and non-labor income, which means, according to some econometric literatures, that the estimated coefficients of the two predictors can be inconsistent. The paper tries to redress the endogeneity problem by employing a panel logit model with data from the 1st. to 4th. wave of the KLoSA(Korean Longitudinal Survey of Ageing) to estimate the effects of key predictors on the probability of getting jobs among older people(ages of 60 or older). Both a random effects and a fixed effects model reaffirms that non-labor income has a negative effect on the chances of being employed. And a random effects model shows that the effect of education is also negative, as has frequently been reported by previous studies. That means the effects of education and non-labor income on elderly employment remain negative after the effect of unobserved heterogeneities is controled for and the problem of endogenous predictors is redressed through an appropriate panel data analysis. These findings mean, in turn, that when Korean baby-boomers, who had acquired an unprecedentedly higher level of education and were expected to enjoy ever-larger amount of non-labor income than their preceding generations, retires in near future, their incentives to work will become much weaker and the lack of labor-force and the burden of financing increased public pension expenditure will become more troublesome. The paper concludes with recommending some policy initiatives helpful to solve these expected problems.