Understanding the behaviour of economic agents is as important as understanding fiscal institutions. Our model integrates the generational-accounting approach with an applied-general equilibrium setup. The recognition of economic behaviour improves our assessment of the intergenerational...

Pension systems are under serious pressure worldwide. This pressure stems not only from the well-known trend of population aging, but also from those of increasing heterogeneity of the population and increasing labour mobility. The current economic crisis has aggravated these problems, thereby...

A popular view is that ageing populations increase health expenditure to GDP ratios because health expenditure correlates positively with age and because the concomitant shrinking of the labour force depresses GDP. The resulting increase in transfers from the young to the old then calls for a...