THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION
After the Second World War, Romania’s population registered a decrease in numbers due to a high male death ration resulting from casualties. As the country started to recover from the social and economic effects of the war, the new political ideology - the socialism, started to steer the country in...
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| Format: | Article |
| Language: | English |
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Publishing house of University of Pitesti, Romania
2018-12-01
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| Series: | Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice |
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| Online Access: | http://economic.upit.ro/RePEc/pdf/2018_3_17.pdf |
| _version_ | 1818617541022449664 |
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| author | Adrian Lucian SALA |
| author_facet | Adrian Lucian SALA |
| author_sort | Adrian Lucian SALA |
| collection | DOAJ |
| description | After the Second World War, Romania’s population registered a decrease in numbers due to a high male death ration resulting from casualties. As the country started to recover from the social and economic effects of the war, the new political ideology - the socialism, started to steer the country in a new direction. Under its leadership, a boom in growth started occurring resulting in new economic production infrastructure being constructed. Thus, the necessity appeared for a much larger labor force to occupy the rising demand. To address this necessity, legislative changes were introduced to “encourage” childbirth, primarily through signing into law Decree 770 on the 2nd of October 1966. This resulted in approximately 1.5 Million newborns between 1967-1969, which will retire after 2030. In this paper, I will summarise the effects of this large portion of the population will have on the economy by applying the adequate statistical methods. The expected results would generate a rise in social security expenditures and an increase in older dependency ratios resulting in a higher burden on younger generations and causing a more significant drain of public resources. On these perspectives, I underline the main solutions in order to overcome or to reduce them. |
| first_indexed | 2024-12-16T17:07:20Z |
| format | Article |
| id | doaj.art-dd7ce779459f4b24b58f40b12991ed8f |
| institution | Directory Open Access Journal |
| issn | 1583-1809 2344-4908 |
| language | English |
| last_indexed | 2024-12-16T17:07:20Z |
| publishDate | 2018-12-01 |
| publisher | Publishing house of University of Pitesti, Romania |
| record_format | Article |
| series | Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice |
| spelling | doaj.art-dd7ce779459f4b24b58f40b12991ed8f2022-12-21T22:23:32ZengPublishing house of University of Pitesti, RomaniaBuletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice1583-18092344-49082018-12-01173125132THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATIONAdrian Lucian SALA0University of Craiova, RomaniaAfter the Second World War, Romania’s population registered a decrease in numbers due to a high male death ration resulting from casualties. As the country started to recover from the social and economic effects of the war, the new political ideology - the socialism, started to steer the country in a new direction. Under its leadership, a boom in growth started occurring resulting in new economic production infrastructure being constructed. Thus, the necessity appeared for a much larger labor force to occupy the rising demand. To address this necessity, legislative changes were introduced to “encourage” childbirth, primarily through signing into law Decree 770 on the 2nd of October 1966. This resulted in approximately 1.5 Million newborns between 1967-1969, which will retire after 2030. In this paper, I will summarise the effects of this large portion of the population will have on the economy by applying the adequate statistical methods. The expected results would generate a rise in social security expenditures and an increase in older dependency ratios resulting in a higher burden on younger generations and causing a more significant drain of public resources. On these perspectives, I underline the main solutions in order to overcome or to reduce them.http://economic.upit.ro/RePEc/pdf/2018_3_17.pdfBaby boomerDecree generationBirth ratesPensionsDependency ratio |
| spellingShingle | Adrian Lucian SALA THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice Baby boomer Decree generation Birth rates Pensions Dependency ratio |
| title | THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION |
| title_full | THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION |
| title_fullStr | THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION |
| title_full_unstemmed | THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION |
| title_short | THE RETIREMENT RISKS OF ROMANIA’S “DECREE” GENERATION |
| title_sort | retirement risks of romania s decree generation |
| topic | Baby boomer Decree generation Birth rates Pensions Dependency ratio |
| url | http://economic.upit.ro/RePEc/pdf/2018_3_17.pdf |
| work_keys_str_mv | AT adrianluciansala theretirementrisksofromaniasdecreegeneration AT adrianluciansala retirementrisksofromaniasdecreegeneration |