The A-K Model: It's Past, Present, and Future

Laurence Kotlikoff

No 6684, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Almost two decades have passed since the development of the prototype of the Auerbach-Kotlikoff dynamic life-cycle simulation model. The model has been used to examine a host of policies, including tax reform, tax cuts, investment incentives, tax progressivity, expansion of social security, government spending, monetary policy, endogenous growth, the size of the informal sector, human capital accumulation, and educational policy. It has also been used to study demographic change, the timing of policy impacts, the efficiency gains from fiscal reforms, and the effects of fiscal policies on both the intra- and intergenerational distributions of economic welfare. Auerbach and Kotlikoff and their co-authors have done much of this research. The rest has been done by other economists in academia, government, and multilateral lending institutions, many of whom have developed their own versions of the model. This paper describes the origins of the A-K Model, its current structure, the lessons learned using it, and some of the questions that remain to be addressed. It also considers two issues -- tax reform and social security privatization -- in illustrating the model's current capacities.

JEL-codes: E0 H0 (search for similar items in EconPapers)
Date: 1998-08
New Economics Papers: this item is included in nep-pub and nep-tid
Note: PE
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (26)

Published as Harrison, Glenn, Svend E. Hougaard Jensen, Lars Haagen Pedersen, and Thomas F. Rutherford (eds.) Using Dynamic CGE Models for Policy Analysis. North Holland, 2000.

Downloads: (external link)
http://www.nber.org/papers/w6684.pdf (application/pdf)

Related works:
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:nbr:nberwo:6684

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w6684

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().