Economics at your fingertips  

Global Aging and Fiscal Policy with International Labor Mobility; A Political Economy Perspective

Mehmet Tosun ()

No 05/140, IMF Working Papers from International Monetary Fund

Abstract: This paper uses an overlapping generations model with international labor mobility and a politically responsive fiscal policy to examine aging in developed and developing regions. Migrant workers change the political structure composed of young and elderly voters in both labor-receiving and labor-sending countries. Numerical simulations show that the developed region benefits more from international labor mobility through the contribution of migrant workers as laborers, savers, and voters. The developing region experiences significant growth in all specifications but benefits more under international capital mobility. Restricting political participation of migrant workers in the developed region produces inferior growth results.

Keywords: Fiscal policy; Population; Political economy; population aging, overlapping generations, endogenous fiscal policy, international labor mobility, international capital mobility, aging, labor mobility, social security, labor migration, Economic Growth of Open Economies, Fiscal Policies and Behavior of Economic Agents: General, Demographic Economics: General, (search for similar items in EconPapers)
Pages: 35
Date: 2005-07-01
New Economics Papers: this item is included in nep-mac, nep-pbe and nep-pol
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6) Track citations by RSS feed

Downloads: (external link) (application/pdf)

Related works:
Working Paper: Global Aging and Fiscal Policy with International Labor Mobility: A Political Economy Perspective (2009) Downloads
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:

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in IMF Working Papers from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Jim Beardow ().

Page updated 2020-03-30
Handle: RePEc:imf:imfwpa:05/140