The Political Economy of Intergenerational Cooperation
Abstract
The paper examines the scope for mutually beneficial intergenerational cooperation, and looks at various attempts to theoretically explain the emergence of norms and institutions that facilitate this cooperation. After establishing a normative framework, we examine the properties of the laissez-faire solution in a pure market economy, and in one where reproductive decisions and intergenerational transfers are governed by self-enforcing family constitutions. We then show that first and second-best policies include a pension and a child benefit scheme. Finally, we look at the possibility that intergenerational redistribution might be supported by either a constitution, or some kind of voting equilibrium.Download Info
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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1632.Length:
Date of creation: 2005
Date of revision:
Handle: RePEc:ces:ceswps:_1632
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Keywords: intergenerational cooperation; family; fertility; saving; private transfers; education; child benefits; pensions; self-enforcing constitutions; direct democracy; representative democracy; constitutions;Other versions of this item:
- Cigno, Alessandro, 2006. "The political economy of intergenerational cooperation," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier.
- Alessandro Cigno, 2003. "The Political Economy of Intergenerational Cooperation," CHILD Working Papers wp05_03, CHILD - Centre for Household, Income, Labour and Demographic economics - ITALY.
- C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
- D10 - Microeconomics - - Household Behavior - - - General
- J10 - Labor and Demographic Economics - - Demographic Economics - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-01-29 (All new papers)
- NEP-EDU-2006-01-29 (Education)
- NEP-PBE-2006-01-29 (Public Economics)
References
References listed on IDEASPlease report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Javier Birchenall & Rodrigo Reis Soares, 2007.
"Altruism, Fertility, and the Value of Children: Health Policy Evaluation and Intergenerational Welfare,"
Textos para discussão
537, Department of Economics PUC-Rio (Brazil).
- Birchenall, Javier A. & Soares, Rodrigo R., 2009. "Altruism, fertility, and the value of children: Health policy evaluation and intergenerational welfare," Journal of Public Economics, Elsevier, vol. 93(1-2), pages 280-295, February.
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"Optimal Policy Towards Families with Different Amounts of Social Capital, in the Presence of Asymmetric Information and Stochastic Fertility,"
CESifo Working Paper Series
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