Costs of Extending the Noncontributory Pension Program for Elderly

The Mexican Case

Published in: Journal of Aging & Social Policy, 2016

Posted on RAND.org on July 12, 2016

by Emma Aguila, Nelly Josefina Mejia Gonzalez, Francisco Perez-Arce, Edgar Ramirez, Alfonso Rivera Illingworth

Population aging coupled with high poverty rates among older persons and a lack of access to social-security benefits or traditional support systems have led governments in low and middle-income countries to introduce non-contributory pension programs for the elderly. This article reviews a non-contributory pension program introduced in Mexico in 2007 that has since expanded greatly. We use a variety of sources to estimate current and future costs of this program.

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