expected to introduce a more equitable system”(Gill et al, 2005: 34, 90). Finally, the reform, inspired by neoliberal thought, proclaimed the“subsidiary role of the state,” i.e., that the state should only intervene when the market may not do it. According to Piñera(1992: 39), the military and economists were united by a common cause:“An effective way to avoid a new cycle of statism and demagogy was... dismantling the excessive economic power of the state.” b. Reality Subsidiary Role of the State The reformers’ ideal that the state would play a subsidiary role has been dis­proved in the last 40 years, in which its fundamental role has been proven, without which the private system could not exist: a) It made affiliation to the system mandatory for all the insured or for some of them; b) in the vast major­ity of countries it has financed the cost of transition from the public to the private system(with some exceptions); 33 c) it established a public agency to regulate and monitor the private system; d) it guarantees the benefits in case of the administrators’ bankruptcy; e) it introduced or expanded non-contrib­utory pensions and finances them in the vast majority of countries; f) it has made fiscal contributions to improve low contributory pensions up to a limit at which the contribution ends(Chile, Mexico, and Uruguay); and g) it finances inclusion measures in the contributory system intended for certain excluded groups, i.e., in Costa Rica it grants a subsidy to self-employed workers who join, which is an incentive for their affiliation and payment of contributions, and also, in the long term, the state saves the payment of non-contributory pen­sions. The FIAP, at its 2017 Annual Meeting issued a statement that reads:“It is urgent… to strengthen a first solidarity, non-contributory and efficient pillar that may improve the pensions of the most vulnerable workers with no savings 33 When the public system is closed, all or a significant portion of the insured stop contributing to it and make their contributions to the private system. On the other hand, most of the current pensions and some of the future pensions come from the public system; this generates a deficit that may last between 35 and 60 years; in Chile, at the peak, the deficit amounted to 7% of GDP; said deficit is financed by the state. 58