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Financing the Consumption of the Young and Old in France

Hippolyte d'Albis (), Carole Bonnet (), Xavier Chojnicki (), Najat El Mekkaoui, Angela Greulich (), Jérôme Hubert and Julien Navaux
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Angela Greulich: CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique
Jérôme Hubert: LEM - Lille économie management - LEM - UMR 9221 - Université de Lille - UCL - Université catholique de Lille - CNRS - Centre National de la Recherche Scientifique
Julien Navaux: uOttawa - University of Ottawa [Ottawa]

Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) from HAL

Abstract: A BETTER UNDERSTANDING of the resource allocation across ages is fundamental to put in place welfare reforms in the context of population ageing. In times of major demographic change, the redistribution of resources between age groups and the funding of the economically inactive aged remains a recurring topic of public debate and a major public policy concern in OECD countries. Governments search for a policy mix that will improve the quality of life of the elderly, while at the same time investing in the future of the young and reducing the fiscal burden on the working population. Life expectancy and education requirements are increasing while budget constraints are tightening. This potentially creates tension in the allocation of resources between age groups (Preston 1984; Lee and Mason 2011a). Some authors have shown the negative impact that a growing share of elderly could have on education spending for the young (Poterba 1997, 1998; Harris et al. 2001). The compact between the generations could suffer as a result (United Nations 2013a; Chen et al. 2018).

Date: 2019-03
Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-02076546
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Published in Population and Development Review, Wiley-Blackwell, 2019, 45 (1), pp.103-132. ⟨10.1111/padr.12204⟩

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