Many people prefer traditional pension (defined benefit plans) to 401 (k) (defined contribution plans) because they like the formers certainty of income. But anyone can construct a traditional pension plan with their 401 (k) savings. Suppose after saving every month for 40 years in ones 401 (k), one can retire at 65 with $1 million (Buy SPDR or Vanguard 500!). Assume the person has 25 more years to live, find the monthly income (paid at the beginning of every month) if he/she buys an annuity with a 2% annual return. What about the monthly income, if the annuity lasts for 35 years? For your reference, the median private pension monthly payment is about $770 and social securitys average monthly payment in 2020 is about $1,500. From the findings, do you think defined contribution plans are indeed better? If not, why?