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The Sustainability of State and Local Government Pensions: A Public Finance Approach
In this paper we explore the fiscal sustainability of U.S. state and local government pensions plans. Specifically, we examine if under current benefit and funding policies state and local pension plans will ever become insolvent, and, if so, when. We then examine the fiscal cost of stabilizing pension debt as a share of the economy and examine the cost associated with delaying such stabilization into the future.
Brookings Paper on Sustainability.pdf [DOWNLOAD]

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