|
| |
N° 2002-06 |
  |
| July |
| Pensions and Savings in a Monetary Union:
an Analysis of Capital Flows |
Alain Jousten
Florence Legros |
|
| We analyze the economic impact of a simultaneous
aging shock in two countries. The countries are identical in all respects except
the financing scheme of their public pension system. While one relies on capitalization,
the other one relies on a pay-as-you-go scheme. We show that the two countries
react very differently to the demographic shock and its financial implications.
Further, we find that the presence or the absence of capital mobility considerably
affects the results, both in terms of the size of the burden as in terms of international
capital allocation. |
Abstract |
| |
|
| Pays-as-you-go, pension funds, common currency,
demographic shock, savings, capital flows |
Keywords |
| E60, F41, G23, H55 |
JEL classification |
| |
|
| To visualise the full text document, use Acrobat
Reader |
Full text (pdf) |
|
|
| |
|
|
|
|
|
