The major objective of a retirement income system is to allow individuals to live a comfortable life in retirement. Although the system is designed to accommodate all types of individuals, the real test is the adequacy of the system for the poor.

The two papers discussed below address the adequacy of both the Australian and US retirement income systems. The Australian system is funded by mandatory contributions from the salaries of beneficiaries while the US system is funded by a payroll tax. One of the main issues relating...