The baby boom and international capital flows
Abstract
This paper presents a model of economic growth based on the life-cycle hypothesis to determine the path of international capital flows as the baby boom passes through the U.S. economy. The model predicts that a baby boom causes a temporary increase in capital flow into the U.S. but the increase in capital is not sufficient to maintain the capital-labor ratio in the U.S. The baby boom increases saving in the U.S. but decreases the saving abroad due to the higher world interest rates.Download Info
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Paper provided by Federal Reserve Bank of St. Louis in its series Working Papers with number 1994-031.Length:
Date of creation: 1994
Date of revision:
Handle: RePEc:fip:fedlwp:1994-031
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Keywords: Economic conditions - United States ; International finance;References
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- repec:fth:harver:1490 is not listed on IDEAS
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Narciso, Alexandre, 2010. "The impact of population ageing on international capital flows," MPRA Paper 26457, University Library of Munich, Germany.
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