ECON 3021 The Superannuation Industry

Credit Points 10

Legacy Code 200077

Coordinator John Ablett Opens in new window

Description This unit provides students with an understanding of the economics of retirement and retirement income provision, with particular emphasis on the Australian superannuation industry. On completion of this unit, students should have a comprehensive understanding of superannuation in Australia, as well as an appreciation of the economic issues associated with alternative models of retirement income provision.

School Business

Student Contribution Band HECS Band 4 10cp

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Level Undergraduate Level 3 subject

Assumed Knowledge

200049 -  Macroeconomics, 200076 - Introductory Economics, 200488 - Corporate Financial Management.

Learning Outcomes

On successful completion of this subject, students should be able to:
  1. Explain the major economic issues associated with an aging population and the retirement decision;
  2. Understand the main economic issues related to �epay as you go�f and fully funded age pension schemes, and defined benefit and accumulation superannuation schemes;
  3. Describe the evolution the Australian superannuation industry;
  4. Explain the likely/possible effects of mandatory retirement income saving on financial markets and macroeconomic variables;
  5. Explain the major aspects of taxation and regulation of superannuation;
  6. Understand the main investment aspects of superannuation and fund strategies;
  7. View the Australian superannuation industry within the international context.

Subject Content

- Demographic transition, economic Rationale of retirement income policy
- alternative Models of retirement income provision: paygo, provident funds, mandatory private
- economic impacts of saving for retirement: The level of saving, labour markets, financial markets
- retirement income policy in Australia: evolution, Age pension, development of The superannuation industry
- theory of taxation and regulation of superannuation, role of trustees
- Investing for The long term, short termism, investment strategies, Australian practice
- retirement Benefits: adverse selection, alternative Benefits, The retirement decision
- pension reforms around The World

Teaching Periods

Structures that include subject