[Denny]

I know that in Canada, and especially, in the USA, there has been as strong move in the past five years away from defined benefit pensions. Now the Bank of Canada president David Dodge has come out against the trend. One issue is that the uncertainty of old age security can result in economic contraction. People can end up putting too much aside for an uncertain life span. Or too little.

See the article:
Globeinvestor

One big quesiont for the bank. How does a pensioneer ensure that the money promised him or her, even if faithfully delivered, still buys anything? With peak oil, I expect prices of most hard goods and food to shoot through the roof. That could be scary for prospective pensioners, and detract from their enjoyment of retirement.

Maybe the government type indexed pensions would be the real ticket to give a better sense of security. Even some of the govenrnment owned corporations offer these. If there was oe way the Bank of Canada could help, it would be to work out an inflation indexed pension fund that employers could use, just like they do for trhe government itself. Or, are government (and related crown corp.) employees a special class of people?

[Newsseeker]

I agree with the economic contraction theory and I am glad someone is speaking out.

[Daculling]

$this->bbcode_second_pass_quote('Denny', '
')One big quesiont for the bank. How does a pensioneer ensure that the money promised him or her, even if faithfully delivered, still buys anything?

[vision-master]

Poor advice.

Just what the "machine" wants from you.

Work till death!

[Twilight]

In every country that undergoes economic collapse, people on fixed incomes are the first to get shafted. It was the case in Weimar Germany, the FSU, the meltdowns in South America, and it will be the case again. Unless your retirement is imminent, the question is not important.

[Baldwin]

Unless upi have everything in silver or gold...in which case wacky inflation doesn't mean anything.

[Denny]

$this->bbcode_second_pass_quote('Baldwin', 'U')nless upi have everything in silver or gold...in which case wacky inflation doesn't mean anything.

[JoeW]

Umm... Reduction of average lifespan post-peak may mitigate any pension/social security problems you can imagine. Just looking at the bright side!

When people are rioting in the streets, I probably won't spend a whole lot of time pondering whether my pension will still buy a loaf of bread in 30 years. But it probably won't. DAMN IT ALL!!!

[Denny]

$this->bbcode_second_pass_quote('JoeW', 'U')mm... Reduction of average lifespan post-peak may mitigate any pension/social security problems you can imagine. Just looking at the bright side!

[vision-master]

$this->bbcode_second_pass_quote('Twilight', 'I')n every country that undergoes economic collapse, people on fixed incomes are the first to get shafted. It was the case in Weimar Germany, the FSU, the meltdowns in South America, and it will be the case again. Unless your retirement is imminent, the question is not important.

[Fredrik]

$this->bbcode_second_pass_quote('Daculling', 'M')y advice to you is... don't expect to retire.