The Economics Team analyzes and develops policies related to the economy and its impact on financial security, particularly security in retirement. Key research topics include:

• Solvency of the Social Security program and the adequacy of benefits for low-income retirees;
• Adequacy and coverage of workplace pensions;
• Individual retirement saving, managing assets in retirement, and the income of older Americans;
• Supplemental Security Income and other programs to protect low-income families and retirees;
• Workplace flexibility, training, age discrimination and other issues related to the older workforce; and
• Equity and efficiency of tax policies and the adequacy of tax revenues.

Resource Tests and Eligibility for Federal Assistance Programs: Effects of Current Rules and Options for Change

Resource tests disqualify many individuals and families whose income would otherwise make them eligible for federal assistance. This report shows how increases in resource limits or changes in the way resources are counted could increase the number of people potentially qualifying for assistance. Reforming resource tests would also simplify administration and increase participation among currently eligible individuals.

The Employment Situation, December 2009: Overall Unemployment Rate Holds Steady But Ticks Up Slightly for Older Workers

This PPI fact sheet highlights the employment and unemployment situation for persons aged 55 and older as of December 2009.  The unemployment rate for the total aged 16+ remained unchanged at 10 percent.  However, 29,000 more persons aged 55 and over were unemployed in December than in November, bringing the total unemployment rate for this group up to 7.2 percent from 7.1 percent.

Federal and State Income Tax Incentives for Private Long-Term Care Insurance

To help make long-term care insurance more affordable and to encourage purchases, both federal and state governments provide tax subsidies for private long-term care insurance.  This PPI research report describes these subsidies, their value to taxpayers (by age and income), and where possible, their cost to federal and state governments.

The Social Compact in the Twenty-First Century

This PPI special report examines perceptions of and changes in what is often referred to as the “social compact” or “social contract”—the reciprocal relationship between employers and employees that for millions of workers has led to a good job that promised financial security during working years and into retirement. It examines changes in the compact over time and analzes employers’ and employees’ perspectives on the social compact and related issues based on data from separate surveys of employers and employees.

Employer-Provided Pensions: Less to Count On

The coverage of the employer-provided pension system is limited, and there are marked disparities in coverage between rich and poor, Hispanic and white, well- and less well-educated and other social groups.  The Automatic IRA would broaden coverage substantially, and improving the Saver’s Credit would provide incentives for low- and moderate-income workers to save for retirement.

The Consumer Price Index: How It Impacts the Federal Budget and Social Security Benefits

This Fact Sheet by Selena Caldera of AARP's Public Policy Institute Economics team describes the four consumer price indexes and discusses how they impact the federal budget and benefit programs. The Fact Sheet explains the calculation of cost-of-living adjustments (COLAs) to monthly Social Security benefits and why there are no COLAs projected for 2010 and 2011.

Providing Income for a Lifetime: Bridging the Gap between Academic Research and Practical Advice

Workers and families nearing retirement face a number of increasingly complicated decisions.  These include when to claim Social Security, how to allocate a portfolio of financial assets, whether to purchase an annuity (and if so, when and what type), how quickly to spend unannuitized wealth, and whether to pay off any outstanding mortgage or purchase a reverse mortgage.  In this Public Policy Institute research paper, Tony Webb of the Center for Retirement Research at Boston College describes, for each of these decisions, what most households actually do, the conventional wisdom as to what they should do, and what a careful economic analysis suggests that most people should do.

Economic Security Reports by Topic

Click below for reports on major topics. For a more precise search, use the PPI search box in the upper left hand corner of this page.

• Social Security
• Pensions and Retirement Saving
• Income and Assets
• Tax and Budget
• Work and Retirement
• Low-Income Programs and Populations
• Other Reports on Economic Security Issues