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Life Expectancy, Schooling Time, Retirement, and Growth

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  • Cruz A. Echevarría

Abstract

I analyze how changes in life expectancy affect retirement age, education time, and growth rates of economies. I set up a continuous time, overlapping generations model of endogenous growth with externalities in human capital production. I find that increases in life expectancy give rise to first, higher retirement ages and second, higher education spans. A threshold level for life expectancy exists such that per capita growth rates follow an inverted U pattern. (JEL D9, E17, I29, J24) Copyright 2004, Oxford University Press.

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File URL: http://hdl.handle.net/10.1093/ei/cbh084
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Bibliographic Info

Article provided by Western Economic Association International in its journal Economic Inquiry.

Volume (Year): 42 (2004)
Issue (Month): 4 (October)
Pages: 602-617

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Handle: RePEc:oup:ecinqu:v:42:y:2004:i:4:p:602-617

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Cited by:
  1. Bo Malmberg & Eva Andersson & S V Subramanian, 2010. "Links between ill health and regional economic performance: evidence from Swedish longitudinal data," Environment and Planning A, Pion Ltd, London, vol. 42(5), pages 1210-1220, May.
  2. Raouf Boucekkine & Bity Diene & Theophile Azomahou, 2007. "A closer look at the relationship between life expectancy and economic growth," Working Papers 2007_24, Business School - Economics, University of Glasgow.
  3. Heijdra, Ben J. & Romp, Ward E., 2009. "Human capital formation and macroeconomic performance in an ageing small open economy," Journal of Economic Dynamics and Control, Elsevier, vol. 33(3), pages 725-744, March.
  4. Echevarria, Cruz A. & Iza, Amaia, 2006. "Life expectancy, human capital, social security and growth," Journal of Public Economics, Elsevier, vol. 90(12), pages 2323-2349, December.
  5. Nina Boberg-Fazlic, 2012. "Longevity and Schooling: The Case of Retirement," Discussion Papers 12-15, University of Copenhagen. Department of Economics.

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