participation. We build an overlapping generations life-cycle, heterogeneous-agent, incomplete-markets model with education, labor … supply, and consumption/saving decisions. Driven by both altruism and paternalism, parents make inter vivos transfers to … education. We find that the current financial aid system in the U.S. improves welfare, and removing it would reduce GDP by 4 …

participation. We build an overlapping generations life cycle model with education, labor supply, and consumption/saving decisions …. Cognitive and non-cognitive skills of children depend on the cognitive skills and education of parents, and affect education … choice and labor market outcomes. Driven by both altruism and paternalism, parents make transfers to their children which can …

generations ; growth ; family altruism …It has been shown that higher capital taxes can have a growth-enhancing effect when combined with a revenue … critically hinge on the existence of a bequest motive. It is shown that a wage-tax cut is no longer growth-enhancing when …

Ongoing demographic change will lead to a relative scarcity of raw labor to the effect that output growth will be …