The Net Benefit Analysis of Admitting Immigrant Under Social Security : Incorporating Assimilation Cost Under Different Pension Systems

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  • 社会保障における移民受け入れの純便益分析 : 異なる年金方式のもと同化コストの影響を考慮して
  • シャカイ ホショウ ニ オケル イミン ウケイレ ノ ジュンベンエキ ブンセキ : コトナル ネンキン ホウシキ ノ モトドウカ コスト ノ エイキョウ オ コウリョ シテ

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This study analyzes the effect of immigration on the native generational welfarethrough the pay-as-you-go pension system by incorporating the costs of assimilationborne by the next generation. We compare the effects caused by admitting immigrantsunder the four different pension systems: defined-contribution, defined-benefit, and thetwo defined-return-ratio pension systems. According to the analysis using a numerical example,the defined-return-ratio pension system where the ratio of the pension benefit tothe wage of working generation is kept constant decreases the variability of generationwelfare and makes the welfare of the next generation lower than that of the admittinggeneration.

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