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Asymptotic Age Structures And Intergenerational Trade

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  • Gregory Ponthiere

Abstract

While demographers Lotka (1939) and Lopez (1961) proposed conditions on (exogenous) fertility and mortality laws under which populations with distinct initial age structures exhibit the same asymptotic age structure, this paper re-examines the issues of age structure stabilization and convergence, by considering a population whose fertility and mortality are endogenously determined in the economy. For that purpose, we develop a three-period OLG model where human capital accumulation and intergenerational trade affect fertility and longevity. It is shown that the age structure must converge asymptotically towards a stable structure, whose form depends on the structural parameters of the economy. Moreover, populations with distinct initial age structures will end up with the same long-run age structure when fertility and mortality laws are converging, which requires converging terms of trade between coexisting generations in the different populations under study.

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File URL: http://hdl.handle.net/10.1111/j.1467-999X.2010.04105.x
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Bibliographic Info

Article provided by Wiley Blackwell in its journal Metroeconomica.

Volume (Year): 62 (2011)
Issue (Month): 1 (02)
Pages: 175-217

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Handle: RePEc:bla:metroe:v:62:y:2011:i:1:p:175-217

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  1. DE LA CROIX, David & LINDH, Thomas & MALMBERG, Bo, . "Demographic change and economic growth in Sweden: 1750-2050," CORE Discussion Papers RP -2104, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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Cited by:
  1. Laura Leker & Grégory Ponthière, 2012. "Education, Life Expectancy and Family Bargaining: The Ben-Porath Effect Revisited," PSE Working Papers halshs-00715104, HAL.
  2. repec:hal:wpaper:halshs-00715104 is not listed on IDEAS

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