Demand-Oriented Adjustment Mechanism for the Basic Pension Insurance System for the Urban and Rural Residents

The present basic pension for the urban and rural residents cannot meet their basic living needs. To address this issue,this study analyses the certainty and necessity of adjusting the basic pension insurance system for the urban and rural residents primarily. Then the goal of the basic pension adjustment is measured by the demand- oriented method using open and transparent data and survey data. Results show that the adjusted monthly basic pension is 1149. 15 Yuan per person for the urban residents and 427. 16 Yuan per person for the rural residents. Based on these results,three adjustment schemes- slow- to- fast,in- one- step,and goal- oriented,are designed and the feasibility of these schemes is validated in terms of the adjustment mechanism for the basic pension,government financing,and moderately expanding basic pension channels for urban and rural residents.