Hungary Follows Argentina in Pension-Fund Ultimatum, `Nightmare' for Some

This is a real live example of what happens when underfunded pensions become nationalized.  This article also depicts other eastern EU countries' state pension funds are severely underfunded.

http://www.bloomberg.com/news/2010-11-25/hungary-follows-argentina-in-pension-fund-ultimatum-nightmare-for-some.html

Hungary is giving its citizens an ultimatum: move your private-pension fund assets to the state or lose your state pension.