Public debt, child allowances and pension benefits with endogenous fertility

Masaya Yasuoka and Atsushi Miyake

Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), 2013, vol. 7, No 2013-11, 25 pages

Abstract: The public debt stock in some economically developed countries continues to increase because of a lack of tax revenues and the concomitant burdens of social security. Many of those countries suffer from lower birth rates and consequently, have fewer children. Child allowances might be an effective way to increase fertility, leading to higher future tax revenues through an increase in the number of younger people. In this paper, the authors examine whether or not child allowances reduce the public debt stock as a share of GDP in an economy with a pension system. As long as a non-negative debt policy is adopted in the long run, child allowances financed by bonds always increase the public debt stock as a share of GDP.

Keywords: public debt; endogenous fertility; child allowances; pension (search for similar items in EconPapers)
JEL-codes: G23 H55 J13 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://dx.doi.org/10.5018/economics-ejournal.ja.2013-11
https://www.econstor.eu/bitstream/10419/71408/1/739276638.pdf (application/pdf)

Related works:
Working Paper: Public debt, child allowances, and pension benefits with endogenous fertility (2012)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zbw:ifweej:201311

DOI: 10.5018/economics-ejournal.ja.2013-11

Access Statistics for this article

Economics - The Open-Access, Open-Assessment E-Journal (2007-2020) is currently edited by Dennis J. Snower

More articles in Economics - The Open-Access, Open-Assessment E-Journal (2007-2020) from Kiel Institute for the World Economy (IfW Kiel) Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().