The Research On Government Responsibility Of China’s Implicit Pension Debt

If the government wants to transfer the pension insurance system from the pay-as-you-go model to the accumulation model, the implicit pension debt has to be addressed. Observing the international experience, the government should play an important role in dealing with the implicit pension debt. However, our government has not undertaken the corresponding responsibility explicitly since1991. The absence of government responsibility has negative impact on dealing with the implicit pension debt, and it’s also not conducive to the successful transition of the pension insurance system and the healthy operation of the partial accumulation model. Therefore, it’s very important to make a research about the government responsibility of implicit pension debt. The paper uses research methods of documentary research and comparative analysis.Firstly, making the definition of implicit pension debt and government responsibility is of great importance to the research. The paper puts forward the appropriate definition, points out that the government responsibility should contain four aspects, and expounds the principal-agent theory.Secondly, the current research indicates that the government has not undertaken the responsibility yet. Based on this important conclusion, the paper analyzes whether our government should and could shoulder the responsibility of handling the implicit pension debt or not, and puts forward the reasons for which the government has not undertaken the responsibility for the last20years.Stones from other hills may serve to polish the jade of this one. Hence, the paper makes a brief introduction of the pension insurance system reform in Chile and Sweden, analyzes how both governments handled the implicit pension debt and what responsibilities the government shouldered,and then comes to some useful enlightenment for our government.In the end, the paper tries to construct the Chinese government responsibility system of handling the implicit pension debt. This part points out that the favorable conditions with which the government can shoulder the responsibility of handling the implicit pension debt has occurred. Hence, it’s time to combine these favorable conditions with the international successful experience to construct the Chinese government responsibility system of handling the implicit pension debt. Only if the government shoulders the institutional arrangement responsibility, legislative responsibility, financial responsibility and supervisory responsibility, can the implicit pension debt be solved effectively.