Population Aging, Pension Systems, and Economic Growth: Applying an Overlapping Generations Model to the Informal Sector

Autor:	NAVARAT TEMSUMRIT
Jazyk:	angličtina
Rok vydání:	2023
Předmět:	aging population human capital informal sector old-age allowance overlapping generations model public pension system Social sciences and state - Asia (Asian studies only) H53
Zdroj:	Asian Development Review, Vol 40, Iss 02, Pp 305-341 (2023)
Druh dokumentu:	article
ISSN:	01161105 1996-7241 0116-1105
DOI:	10.1142/S0116110523500154
Popis:	This paper analyzes the effects of an unfunded pension system on economic growth using an extended overlapping generations model to include the informal sector. Emerging countries usually have a more significant informal sector than advanced ones. The findings based on the Thai economy data suggest that an increase in unfunded pension payouts and the noncontributory old-age allowance induces lower output and changes the consumption profiles of the workers. Furthermore, it reduces households’ incentives to save and provide labor, especially among formal workers, which lowers the physical capital stock in the new steady state.
Databáze:	Directory of Open Access Journals
Externí odkaz:	https://doaj.org/article/dd0ffc26f26247aaa65a1ddb6f590f61 Zobrazit plný text záznamu View record in DOAJ