Public pension systems are under increased stress in all developed countries. During the last four decades, life expectancy has increased. At the same time, labor force participation especially by older men has decreased significantly. There is empirical evidence linking retirement patterns closely to social security rules, suggesting that provisions favoring early retirement are to a large extent responsible for reduced labor market participation and financial distress facing social security systems in coming decades. However, hours worked is only part of the determinants of the effective labor supply. There has been much less analysis of the effects of social security rules on human capital formation.
The main focus of this project is to analyze the effects of social security rules on labor market participation, production, investment in human capital and welfare. In different papers related to project, we use theoretical, computational as well as econometric framework. We have developed a general equilibrium life-cycle model in which individuals divide in each year of their life their time between human capital formation, labor supply and leisure. We also analyze these questions econometrically, using Danish data. In two articles, we analyze the interaction between general income redistribution and human capital investment. In other separate papers, we analyze the political economics of public education and the dynamic cost of draft system. |  |
Refereed Articles in International Journals:
CEBR DP 2006-01: On Human Capital Formation with Exit Options: Comment and New Results
by Panu Poutvaara
State: Forthcoming in Journal of Population Economics.
CEBR DP 2005-15: Pareto-Improving Bequest Taxation
by Volker Grossmann and Panu Poutvaara
State: Refereeing process
CEBR DP 2005-08: To Draft or Not to Draft? Efficiency, Generational Incidence, and Political Economy of Military Conscription
by Panu Poutvaara and Andreas Wagener
State: Forthcoming in the European Journal of Political Economy.
CEBR DP 2005-05: The Economic Costs and the Political Allure of Conscription
by Panu Poutvaara and Andreas Wagener
State:Published, the Economics of Peace and Security Journal 2 (1), 6 - 15, 2007.
CEBR DP 2003-01: Educating Europe: Should Public Education be Financed with Graduate Taxes or Income-Contingent Loans?
by Panu Poutvaara
State: Published, CESifo Economic Studies 50 (4), 663-684, 2004.
CEBR DP 2002-18: The Dynamic Cost of the Draft
CESifo Working Paper No. 744,
by Morten I. Lau, Panu Poutvaara and Andreas Wagener
State: Published, German Economic Review 5 (4), 381-406, 2004.
CEBR DP 2002-17: Social Security Reform and Intergenerational Trade: Is there Scope for a Pareto-Improvement?
CESifo Working Paper No. 795,
by Panu Poutvaara and Marko Köthenbürger
State: Published, Economica 73, 299-319, 2006
CEBR DP 2002-11: Retiring Europe: An Assessment of Alternative Social Security Rules
by Svend E. Hougaard Jensen, Morten I. Lau and Panu Poutvaara
State: Published under the title: Efficiency and Equity Aspects of Alternative Social Security Rules, FinanzArchiv 60 (3), 325-358, 2004.
CEBR DP 2002-04: Investment in Education and Redistributive Taxation without Pre-commitment
by Panu Poutvaara
State: Published, FinanzArchiv 59, 177-188, 2003.
CEBR DP 2002-02: On the Political Economy of Social Security and Public Education
CESifo Working Paper No. 424, 2000,
by Panu Poutvaara
State: Published, the Journal of Population Economics, 19, 345 - 365, 2006.
CEBR DP 2002-01: Income Redistribution and Risky Occupational Choices
by Panu Poutvaara
State: Published, Topics in Economic Analysis & Policy: Vol. 2: No. 1, Article 8, 2002,
CEBR DP 2001-12: Gerontocracy Revisited: Unilateral Transfer to the Young May Benefit the Middle-aged
by Panu Poutvaara
State: Published, Journal of Public Economics 88, 161-174, 2003.
CEBR DP 2000-04: Distributional Effects of Fiscal Consolidation
by Svend E. Hougaard Jensen and Thomas F. Rutherford
State: Published, Scandinavian Journal of Economics
CEBR DP 2000-03: Assessing Tax Reforms When Human Capital is Endogenous
by Morten I. Lau
State: Published, G. W. Harrison, S.E.H. Jensen, L.H. Pedersen and Thomas R. Rutherford (eds.), Using Dynamic General Equilibrium Models for Policy Analysis, North Holland, Amsterdam
CEBR DP 2000-18: Social Security Incentives and Human Capital Investment
CESifo Working Paper No. 438, Department of Economics, University of Helsinki Working Paper 510:2001, .
by Morten I. Lau and Panu Poutvaara
State: Published, German Economic Review.
Comments in International Journals and Books:
"Comment on Wolfram F. Richter: Social Security and Taxation Subject to Subsidiarity and Freedom of Movement".
by Panu Poutvaara
State: Published, Swedish Economic Policy Review 9, 75-78, 2002.
Working Papers:
CEBR DP 2001-10 "Social Security Rules, Labor Supply and Human Capital Formation",
by Morten I. Lau and Panu Poutvaara
State: Unpublished
CEBR DP 2001-09: On the Political Economy of Social Security and Risky Educational Choices
by Panu Poutvaara
State: Unpublished
| |