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The Costs of Improvements in Romanian Life Expectancy

The background of this work is the implementation in Romania - as of the year 2007 - of the private pension funds system. This system has two pillars: second pillar (mandatory for workers under age 35 and optional for workers between age 35 and 45) and third pillar (facultative pensions). In the second pillar, workers between age 35 and 45 have had the option till January 2008 to join the mandatory layer (for them it becomes mandatory from the day they choose to join a mandatory pension fund). Workers can join the third pillar whenever they want. According to figures published on the National House of Pensions and Other Social Insurance Rights more than 1.5 million workers between age 35 and 45 have chosen to join the mandatory level. Continuare

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