The pensions at the center of the storm for Illinois and its localities are “defined benefit” plans — pensioners receive fixed amounts each month for the rest of their lives. Those amounts are usually subject to automatic annual increases or cost of living adjustments. Here are five reasons why defined benefit plans are hopelessly flawed and should be scrapped and replaced as rapidly as fairness and the law allow: • They are irrational at their core. They promise to pay out a fixed stream of income but to meet that promise they must invest in long term, variable, risky assets