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Pension System of the Republic of Korea in the Context of 21st Century Demographic Challenges

Student: Dyupina Olga

Supervisor: Natalia Kim

Faculty: Faculty of World Economy and International Affairs

Educational Programme: Asian Studies (Bachelor)

Year of Graduation: 2020

The problem of population aging is relevant for many highly developed countries of the world. The Republic of Korea is one of the countries in which there is a rapid increase in the number of elderly people. In this thesis, contemporary demographic trends in the Republic of Korea are considered in the context of the government's social policy. The main focus of the study is the existing pension system of the Republic of Korea and its structure. The main goal of the work is to determine how the pension system functions in the Republic of Korea in the context of the growth of elderly. In addition, the work examines the main positive and negative aspects of the system and modern additional programs of social support for the elderly. The paper also contains a description of alternative measures to reform the pension system and evaluates its effectiveness in the framework of the existing demographic situation. The following tasks were set as part of the study: to determine the main demographic trends in the Republic of Korea, to find out the structure of the pension system, to identify its positive and negative sides, to determine the effectiveness of the pension system in the context of the current demographic situation. As a result, it was found that the pension system of the Republic of Korea, despite its relatively recent introduction, was able to provide part of the elderly population with financial support, but in general it is difficult to call it effective in the current demographic situation.

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