Inter- and Intra- generational Inequality(in Jpanaese)

Minoru Masujima, Manabu Shimasawa, Goro Tanaka, Masahiro Sugishita, Hiroshi Yamamoto and Makoto Takanaka

ESRI Discussion paper series from Economic and Social Research Institute (ESRI)

Abstract: The purpose of this paper is to quantify intragenerational inequality among income brackets and places of residence. To this end, the paper has estimated lifetime benefits and burdens of each cohort by using the generational accounting model. Assuming the status quo, a person with higher income would shoulder more lifetime net burden. The same is true for a person living in a place with higher income. If the primary fiscal balance improved by 8% of GDP since 2015, fiscal sustainability would be maintained. It should be noted that Lifetime burdens need to be taken into consideration in the case of consumption tax hike. In the rural area, where ageing ratio is higher and grows faster than in the metropolitan area, burdens for medical and old-age care may become higher. As public investment would bring higher benefits to the rural area with lower income, it has a certain role of income redistribution but not so much as taxes and social security.

Pages: 46 pages
Date: 2010-09
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Persistent link: https://EconPapers.repec.org/RePEc:esj:esridp:248

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