An inter-generational contract is a dependency between different generations based on the assumption that future generations, in honoring the contract, will provide a service to a generation that has previously done the same service to an older generation.
The most common use of the term is in statutory pension insurance provisions and refers to the consensus to provide pension for the retired generations through payments made by the working generations.
The use of the word contract is not entirely accurate as the next generation implicitly enters the agreement without consent.
Read more about this topic: Intergenerational
Famous quotes containing the word contract:
“A good businessman never makes a contract unless he’s sure he can carry it through, yet every fool on earth is perfectly willing to sign a marriage contract without considering whether he can live up to it or not.”
—Dalton Trumbo (1905–1976)
“Smoking ... is downright dangerous. Most people who smoke will eventually contract a fatal disease and die. But they don’t brag about it, do they? Most people who ski, play professional football or drive race cars, will not die—at least not in the act—and yet they are the ones with the glamorous images, the expensive equipment and the mythic proportions. Why this should be I cannot say, unless it is simply that the average American does not know a daredevil when he sees one.”
—Fran Lebowitz (b. 1950)
“Any intelligent woman who reads the marriage contract and then goes into it, deserves all the consequences.”
—Isadora Duncan (1878–1927)