State-level pension reform: The case of Rio Grande do Sul

Abstract

This paper deals with Rio Grande do Sul State public servants retirement system. As most of Brazilian state and local governments, Rio Grande do Sul is facing a serious economic problem with very fast growing expenditures with retirement and survivors benefits for its public servants. The paper gives a brief description of the present situation, followed by a 30 year forecast of future economic behavior. Several possible alternatives are then outlined and evaluated.