The effect of Covid pension withdrawals and the Universal Guaranteed Pension on the income of future retirees in Chile
By Carlos Madeira Chile implemented large pension withdrawals during the Covid pandemic. Afterwards, Chile increased non contributory beneÖts in a quasi-universal scheme. Simulating future pensions, I show that the average loss in contributory pension income is 27.9%, with losses of 23.9% and 31.4% for men and women, respectively. After accounting for public transfers, the average loss in total pension income is just 6.2%, with losses of 7.5% and 5.2% for men and women, respectively. Current retirees lost just 1.1% of...
