Social insecurity

[BWP alert] Social insecurity


This report aims to raise awareness of private financial institutions’ influence on healthcare and pensions in developing countries. ‘Financialisation’ – the expanding systemic power and scope of finance and financial markets and actors – has persisted, even through the financial crisis, without adequate debate or scrutiny. It argues that the privatisation reforms have failed to adequately address the social risks of old age, poverty and poor health. Far from increasing efficiency, the reforms have proved costly and have drained public resources through lavish tax incentives and significant administrative and regulatory expenses. The role of private financial institutions in the reform process are examined by considering two case studies: private pensions in Chile and private health insurance in Argentina. The report concludes that private and poorly regulated financial institutions have played a central role in the failures of the social security reforms to overcome the challenges of healthcare access and old age poverty in many developing countries.

http://www.brettonwoodsproject.org/socialinsecurity

This briefing can also be viewed as a PDF:

http://www.brettonwoodsproject.org/doc/private/socialinsecurity.pdf

This briefing is published by the Bretton Woods Project.