Simulating the dynamic macroeconomic and microeconomic effects of the fairtax sabine jokisch and laurence j kotlikoff nber working paper no 11858 december 2005 jel no h2 abstract america's aging coupled with high and growing old age health and pension benefits augers for much higher payroll taxes, with potentially damaging effects on the us. Developed by auerbach and kotlikoff, and then the other part is used for teaching dsge (dynamic stochastic general equilibrium) models while both models are computable general sargent, thomas j, dynamic macroeconomic theory, harvard, 1987 regarding fortran, while there are many textbooks, the following book will be helpful. This paper uses a new version of the auerbach-kotlikoff model to consider alternative ways to privatize the us social security system the new model incorporates intra- and intergenerational. Generational risk – is it a big deal: simulating an 80-period olg model with aggregate shocks jasmina hasanhodzic and laurence j kotlikoff nber working paper no 19179. Sargent john rawlins is the first black solder given the honor of becoming a sargent due to the boycott of pay by him and the men of the 54th regiment throughout the movie rawlins is portrayed as a mature voice of reason for both the black troops and the white officers.
With zvi bodie, michael boskin, jeffrey brown, daniel gottlieb, caroline hoxby, laurence kotlikoff, robert merton, rick miller, joshua rauh, dan sacks, tom sargent, florian scheuer, and participants at the 2012 brigham young university computational public economics conference and seminars at. Advanced macroeconomics econ-gb2332 fall 2015 professor thomas sargent prerequisites a prior course in macroeconomics or microeconomics is recommended but it is not alan j and laurence j kotlikoff (1998) macroeconomics: an integrated approach second edition cambridge, ma: mit press. University ofmichigan (1995), kotlikoff (1996), kotlikoff, smetters and walliser (1997), altig and gokhale (1997), feldstein and samwick (1997), and huang, ¤mrohoro—lu, and sargent (1997) participation in the new system is generally mandatory in these.
Laurence j kotlikoff is professor of economics at boston university and a research huang, and sargent (1995) use a multiperiod life-cycle model to simulate the effects of privatizing social secu- rity although their model is more elaborate than the one used here, it does not social security can occur just as well in settings with. Kotlikoff, smetters and walliser (2001) advanced the auerbach-kotlikoff model by incorporating age-specific fertility and inheritance, lifespan extension, intragenerational earnings heterogeneity, and additional fiscal institutions. What do you actually know about social security we went to the streets of san diego to find out what people really think they know about maximizing their social security benefits what do the [. Laurence jacob kotlikoff (born january 30, 1951) is an american academic and politician, who is a william warren fairfield professor at boston university.
Kotlikoff et al (1997) use a general equilibrium, long-lived over- lapping generations model to study the consequences of various ways of privatizing the us social security system. Course objective this course is concerned with the construction of macroeconomic theories that can explain and predict variations in aggregative (economy-wide) variables, such as gnp, unemployment, the general price level, interest rates, growth rates, and the exchange rate. And sargent (1995) use a multiperiod life-cycle model to simulate the effects of privatizing social security although their model is more elabo kotlikoff, and sabelhaus (1996) show, the dramatic postwar decline in us savings has coincided with a dramatic increase in the absolute and relative consumption of the elderly, which, in turn.
Flavin's (1981) and kotlikoff and pakes's (1984) tests, however, indicated that post world war ii aggregate us consumption responds too strongly to news about income for this model to be correct. Risk-sharing networks in rural philippines marcel fafchamps † and susan lund hayashi, and kotlikoff (1992), and townsend (1994) to motivate a simple empirical sargent (1987), chapter 3) 5 both g s,t i and b s,t i are cash ﬂow concepts: gifts given are subtracted from gifts received repayment of. Auerbach, a j and kotlikoff, l j (1987) dynamic fiscal policy cambridge : cambridge university press ben-porath , y ( 1967 ) the production of human capital and the life cycle of earnings.
Summary we develop an applied general equilibrium model to examine the optimal social security replacement rate and the welfare benefits associated with it. We thank ken judd, thomas sargent, kent smetters, kerk phillips, rick evans, karl schmedders, simon gilchrist, and alisdair mckay for helpful comments the views expressed herein are those laurence j kotlikoff department of economics boston university 270 bay state road boston, ma 02215 and nber [email protected] Laurence kotlikoffs paper about privatizing social security 1 would from busi 6345_71 at west texas a&m university laurence kotlikoffs paper about privatizing social sargent and kotlikoff viewing now interested in sargent and kotlikoff. Monetary steady states in a low real interest rate economy james b bullard steven h russell auerbach and kotlikoff (1987) auerbach and kotlikoff extend diamond’s (1965) ant arithmetic” of sargent and wallace (1981) andwallace (1984), allowing sustained.
Sargent (1997) and those presented in this volume some of these papers employ partial-equilibrium kotlikoff, smetters, and walliser (1997 a,b ) focused on a privatization plan in which accrued benefits are recognized and participation in the new system is mandatory the accrued. Week 6 february 23rd thomas sargent’s paper about the credibility of “reaganonomics” & laurence kotlikoff’s paper about privatizing social security by andre jaundoo 1 what is a dynamic game a a dynamic game is a game consists of a collection of players and a set of rules spelling out rewards and penalties a dynamic game is one which requires time to complete, and whose current. Distributional effects in a general equilibrium analysis of social security by laurence j kotlikoff boston university the national bureau of economic research kent smetters the university of pennsylvania and jan walliser.