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Cover of: Aging, Pensions, and Growth
Tetsuo Ono

Aging, Pensions, and Growth

Section: Articles
Volume 73 (2017) / Issue 2, pp. 163-189 (27)
Published 09.07.2018
DOI 10.1628/001522117X14877521353519
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  • 10.1628/001522117X14877521353519
This study presents an endogenous-growth overlapping-generations model featuring probabilistic voting over public pensions. The analysis shows that (i) the pension-GDP ratio increases as life expectancy increases in the presence of an annuity market, while it may show a hump-shaped pattern in its absence; (ii) the growth rate is higher in the presence of an annuity market than in its absence, but its presence implies an intergenerational trade-off in terms of utility.