Fertility, growth, and economic policies
Japan Society for the Promotion of Science:Grants-in-Aid for Scientific Research
Date (from‐to) : 2008 -2009
Author : MOCHIDA Megumi
Declining fertility rates threaten the feasibility of current social security systems, thereby posing a serious problem to many advanced countries. On the other hand, as the active life after retirement becomes longer through a higher life-expectancy, the importance of public pensions which stabilize a retired lifestyle is increasing. A part of this study describes how child-allowance policies with Pay-as-you-go systems affect fertility and growth rates by incorporating an uncertain lifetime. It is shown that a current method to subsidize child-rearing households, which determines benefits according to family's number of children, does not always increase the fertility rate. Another part of this study considers the effect of heterogeneity in labor on the policy effects. This point is our originality.