An Analysis of the Pension Systems’performance and Efficiency Using Radar Chart and Dea Malmquist Method

Phd. Student Georgiana Cristina TOMA (ROSU) (email: georgiana_toma81@yahoo.com)
The Bucharest University Academy of Economic Studies, Romania
Prof. Univ. Dr. Mihai Daniel ROMAN (email: mihai.roman@ase.ro)
The Bucharest University Academy of Economic Studies, Romania
Phd. Student Gabriela TUCHILUS (email: tuchilus.gabriela@gmail.com)
The Bucharest University Academy of Economic Studies, Romania

ABSTRACT

Most of the European countries are worried about the ageing phenomenon and work to improve their pensions systems and labour force. Within this research, one of our objective is to analyze and measure the efficiency of pension systems. For this purpose, we used several indicators referring to the adequacy and participation in the labour market in 2007-2015 period for 26 EU and applied DEA Malmquist method. The empirical results show that efficiency change remain constant only for Germany, Italy, Netherlands, Sweden and United Kingdom in 2007-2015 period. Secondly, we conducted a performance analysis and found that Portugal is the only country reporting above-average performance, followed by Romania which is presenting above-average performance in all dimensions, except for pension expenditures as % of GDP which is below-average. Low performance of pension systems was reported in Belgium, Bulgaria, Czech Republic and Malta.

Keywords: DEA Malmquist index, pension system efficiency, pension system effectiveness, pension system performance
JEL classification: D24, C4, J26

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Romanian Statistical Review 2/2019