%0 Report
        %A Poutvaara, Panu
        %T Social Security Incentives, Human Capital Investment and Mobility of Labor
        %D 2005
        %8 2005 Aug
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 1729
        %U https://www.iza.org/publications/dp1729
        %X Migration between countries with earnings-related and flat-rate pay-as-you-go social security systems may change human capital investments in both countries. The possibility of emigration boosts investments in human capital in the country with flat-rate benefits. Correspondingly, those expecting to migrate from the country with earnings-related benefits to a country with flat-rate benefits may reduce their investment in education. With suitably planned transfers between the two countries, allowing for migration may generate a Pareto-improvement for all current and future generations. Without transfers, either country may be unable to pay for promised benefits when labor becomes mobile.
        %K earnings-related and flat-rate pensions
%K migration
%K social security
%K education