Comments by "seneca983" (@seneca983) on "The Collapse of Pensions in Spain: A new financial crisis for Europe? - VisualPolitik EN" video.

  1. A pay-as-you-go system can be made sustainable but it's probably better for the system to be at least partially funded so it's not so vulnerable to demographic shocks.
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  2. Visualpolitik is a Spanish channel.
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  3. The ECB isn't printing enough money. Inflation has been below the 2% target for a really long while.
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  4. They don't have similar public pension systems so there won't be a similar strain on the public purse. On the other hand, old people who haven't either some kind of retirement benefit from their company or their own savings or children or other relatives who can help will fall into destitution.
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  5. No. They're not receiving a pension from the Spanish state.
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  6. Germany also has an almost pure pay-as-you-go system for pensions and one of the lowest birth rates in Europe.
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  7. The EU has taken a fairly small portion of the member states' money and spent most of it inside Europe.
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  8. The ECB hasn't been printing enough money. Inflation has been below the 2% target for a long while.
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  9. Though Japan doesn't have the same kind of public pension system.
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  10. Ideally, pension systems should be at least partially funded rather than pure pay-as-you-go. However, if the existing system has a very low funding rate or is a pure pay-as-you-go then the funding rate can't be increased all that quickly or else you'll completely screw over one generation (who ends up paying for both their own pension and that of the one before them).
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  11. 48.4 years based on a short googling. Are you perhaps confusing average age and life expectancy?
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  12. This has nothing to do with the EU. It's the individual member states who decide the structure of their public pension systems.
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  13. "Every pension system is PAYG with extra steps." That isn't true. E.g. the Dutch system is 100% funded, the opposite of a pay-as-you-go.
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