Secure the social security - a case study of China's pension system

Abstract

Do you think you’ll have enough money to support your retirement life? Your answer may be yes, because we all have social security. But, is it really secure? People in Greece may not think so, as their pensions have been reduced significantly since the European debt crisis. Although it is an extreme case, pension systems in many other countries are also unsustainable. And when it comes to China, the situation is even more challenging and alarming due to its one-child policy. This picture describes a typical structure of millions of Chinese families including myself. My husband and I are both the only child in our families. In the future, we’ll have to support four parents between us. It’ll be such a big pressure that not only my generation but also the pension system is hardly able to handle it. Researchers from around the world have been searching for solutions for many years. But why designing a good pension system is so difficult?