30 October 2018
Wuerzburg, Germany

The impact of reducing the pension generosity on schooling and inequality

IIASA researcher Alexia Fürnkranz-Prskawetz was invited to give an economic workshop at the University of Wuerzburg.

Lahr, Germany © Alexandr Toryanik | Dreamstime.com

Lahr, Germany © Alexandr Toryanik | Dreamstime.com

The University of Wuerzburg regularly hosts Economic Workshops to invite faculty members and research scholars from international renowned universities to give presentations to different topics. Senior Research Scholar Alexia Fürnkranz-Prskawetz will give a presentation entitled "The impact of reducing the pension generosity on schooling and inequality" on 30 October at 6.15PM.

For many years, Fürnkranz-Prskawetz has been working in the field of the economics of population and individual ageing, long run economic growth, agent based models and environmental economics. She has published numerous articles in refereed scientific journals and edited special issues of economic and demographic journals. At IIASA she works on models of the interrelationship between population, the economy and environment.

She holds a doctorate in mathematical economics from the Vienna University of Technology, as well as a second doctorate (Habilitation) in population economics and applied econometrics from the same University. She is professor at the Institute for Mathematical Methods in Economics at the Vienna University of Technology, deputy director at the Vienna Institute of Demography at the Austrian Academy of Sciences and director of research training at the Wittgenstein Centre for Demography and Global Human Capital.  

Event details:

Date: 30 October 2018, 6:15-7:45PM

Location: Sanderring 2 (Neue Universität), SR 418, University of Wuerzburg

For more information to this conference please see the event website


The impact of reducing the pension generosity on schooling and inequality

In this paper we investigate the impact of a reduction in the pension replacement rate on the schooling choice and on inequality. We develop an overlapping generations model in which individuals differ by their life expectancy and in the cost of attending schooling. Individuals optimally choose their consumption path and their educational attainment. Within our framework we first show how many progressive pension systems are ex ante regressive due to the difference in life expectancy across skill groups and, second, we show the conditions under which a reduction in the replacement rate may increase the number of skilled workers and reduce inequality.

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Last edited: 30 October 2018


Alexia Fürnkranz-Prskawetz

Research Scholar

World Population

T +43(0) 2236 807 289

Research Projects at POP


Sanchez-Romero M, Lee RD, & Fürnkranz-Prskawetz A (2020). Redistributive effects of different pension systems when longevity varies by socioeconomic status. The Journal of the Economics of Ageing 17: e100259. DOI:10.1016/j.jeoa.2020.100259.

KC S (2020). Updated demographic SSP4 and SSP5 scenarios complementing the SSP1-3 scenarios published in 2018. IIASA Working Paper. Laxenburg, Austria: WP-20-016

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