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A master's thesis from Aalborg University
Book cover


The Chinese Pension System under Pressure: The Interplay of State, Market and Society faciing a Demographic Crisis

Author

Term

4. term

Publication year

2022

Submitted on

Pages

61

Abstract

China faces rapid population ageing amid falling birth rates, which strains a still-developing and fragmented pension system. This thesis asks what functional logics the state, market and society follow within China’s pension system and what this interplay implies for the welfare state. Using a case study, it applies Esping-Andersen’s Three Worlds of Welfare Capitalism—through the lenses of decommodification and social stratification—and Path Dependency theory to examine demographic change and successive pension reforms from before 1982 to after 2010. The analysis shows that no single welfare logic dominates. Instead, China’s pension arrangements blend corporatist features associated with conservative welfare states, universalist elements typical of social-democratic models, and productivist priorities tied to economic development. Historical policy choices and institutional legacies have constrained reform options and help explain why the pension system struggled to keep pace with demographic ageing and social fragmentation. Since 2010, state and market initiatives have sought to broaden coverage and reduce fragmentation, yet protection remains uneven. The study concludes that China exhibits a distinctive welfare mix shaped by its development path, enriching comparative debates on how states balance equity, solidarity and growth under demographic pressure.

Kina står over for en markant aldring af befolkningen samtidig med faldende fødselstal, hvilket belaster et pensionssystem, der stadig er under opbygning og præget af fragmentering. Specialet stiller spørgsmålet, hvilke funktionelle logikker staten, markedet og samfundet følger i Kinas pensionssystem, og hvad dette samspil betyder for velfærdsstaten. Med et casestudie anvendes Esping-Andersens Three Worlds of Welfare Capitalism—med fokus på dekommodificering og social stratificering—samt sti-afhængighedsteori til at undersøge demografiske forandringer og pensionsreformer fra før 1982 til efter 2010. Analysen viser, at ingen enkelt velfærdslogik dominerer. I stedet kombinerer Kinas pensionsordninger korporative træk forbundet med konservative velfærdsstater, universalistiske elementer typiske for socialdemokratiske modeller og produktivistiske prioriteringer knyttet til økonomisk udvikling. Historiske politiske valg og institutionelle arv har begrænset reformmulighederne og medvirker til at forklare, hvorfor pensionssystemet havde svært ved at følge med den demografiske aldring og sociale fragmentering. Siden 2010 har stat og marked søgt at udvide dækningen og reducere fragmentering, men beskyttelsen er fortsat ujævn. Studiet konkluderer, at Kina udviser et særegent velfærdsmix formet af sin udviklingssti, hvilket bidrager til den komparative debat om, hvordan stater balancerer lighed, solidaritet og vækst under demografisk pres.

[This apstract has been generated with the help of AI directly from the project full text]