The displacement effect of compulsory pension savings on private savings. Evidence from the Netherlands, using pension funds supervisory data

We show heterogenous displacement effects of mandatory occupational pension savings on private household wealth for different groups. Richer households in particular show larger displacements. This contributes to explaining why empirical studies often come with different estimates of this effect. We study the case of the Netherlands, where wage employed and self-employed workers are differently exposed to compulsory pension savings, and the institutional setting provides exogenous variation in pension wealth that can be used as instrument in the analysis. We use rich administrative data on (pe... Mehr ...