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Two More Truths About Public Employee Pensions
Pension Pulse Link to more items from this source
July 27, 2012
"[T]he main reason we reached this level of underfunding is because states failed to top up their pension plans, relying heavily on investment gains to get them back to a fully funded status. Now that pension myths are confronting reality, hard choices lie ahead.... [To the Five Truths cited in a recent Huffington Post article, the author adds] 6) US states need to consolidate public pensions and introduce major governance reform to bolster public pension plans.... 7) Well governed defined-benefit plans are infinitely better than any defined-contribution plan."

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