1. Demographic transition
Stage 1
Stage 2
Stage 3
Stage 4
birth and death rates
Birth Rate
Population
population
Demographic
Growth
Death Rate
1700s
1800s
1900s
2000s

2. Population structure and pension system methods
Current/future population structure
Previous population structure
Dissaving (insurance)
retirement
retirement
insurance
saving
The change of population structure suggests not only applying new methods to the old-age pension system but also to separate it within social security

3. GDP divided between generations
GDPR
_______
GDP 1 A B C2
opt. (?) C1
opt. (?)
time

4. GDP2
GDP1
GDP1 T1 T2 R1 R2

5. Intergenerational exchange
In order to finance retirement consumption pension rights need to be exchanged for a part of the real product (irrespective to the form they are expressed in).

6. Intergenerational exchangez% z1 ? z4
1/d4
1/d2
1/d3
1/d1 c1 c2 c3 c%

7. Long-term saving  high account value

8. Later retirement  higher benefit