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Generational Accounting in the UK

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  • Cardarelli, Roberto
  • Sefton, James
  • Kotlikoff, Laurence J

Abstract

This paper presents the first set of generational accounts for the United Kingdom. We find that under our baseline scenario, in which pensions are price indexed and health expenditure grows modestly, the imbalance in UK generational policy is small when compared with other leading industrial countries like the United States, Japan, and Germany. However, under an alternative policy scenario, where all social benefits are wage-indexed and health care spending is increased, there is a larger fiscal bill left for future generations to pay. In this case, achieving generational balance would require much stronger medicine.

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Bibliographic Info

Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 110 (2000)
Issue (Month): 467 (November)
Pages: F547-74

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Handle: RePEc:ecj:econjl:v:110:y:2000:i:467:p:f547-74

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Postal: Office of the Secretary-General, School of Economics and Finance, University of St. Andrews, St. Andrews, Fife, KY16 9AL, UK
Phone: +44 1334 462479
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Cited by:
  1. Cormac O'Dea & Ian Preston, 2012. "The distributional impact of public spending in the UK," IFS Working Papers W12/06, Institute for Fiscal Studies.
  2. Kirsanova, Tatiana & Sefton, James, 2007. "A comparison of national saving rates in the UK, US and Italy," European Economic Review, Elsevier, vol. 51(8), pages 1998-2028, November.
  3. repec:ese:iserwp:2008-38 is not listed on IDEAS
  4. PaweĊ‚ Kaczmarczyk, 2013. "Are immigrants a burden for the state budget? Review paper," RSCAS Working Papers 2013/79, European University Institute.
  5. Sebald,Alexander C. & Neubourg,Chris,de, 2003. "Paying for Pensions and Other Public Expenditures: Overtaxing our Children?," Research Memorandum 062, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
  6. Dr Martin Weale, 2011. "Generational Accounts for the United Kingdom," NIESR Discussion Papers 2934, National Institute of Economic and Social Research.
  7. Aziz, Omar & Gemmell, Norman & Laws, Athene, 2013. "The Distribution of Income and Fiscal Incidence by Age and Gender: Some Evidence from New Zealand," Working Paper Series 2852, Victoria University of Wellington, Chair in Public Finance.

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