Pensions: the underside of the distribution versus capitalization match

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The government is preparing to dust off our pension system, with the aim of saving distribution. But beware of ideological blinders.

By Nicolas Marques*

Ln December 3, 2022 on TF1, Emmanuel Macron put on his promoter of pension reform, declaring that without a sweep, “we leave the pay-as-you-go pension system in danger”. The pedagogue president hammered that “working longer” is “the only lever” to face the “massive financing needs” which put “the pay-as-you-go system in danger”.

Assimilate pensions and distribution, as Macron did, is reducer, and limits the lines of thought for a major reform. From the top of the state down to the ranks of workers, many received ideas accompany this concept of distribution – with contributions on wages feeding a common pot which finances the pensions of retirees.

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