Evaluating pay-as-you-go social security systems

Research, Preprint OPEN
Andreas Bachmann ; Kaspar Wüthrich (2013)
  • Publisher: Bern: University of Bern, Department of Economics
  • Subject: E62 | sufficient statistic | H55 | optimal payroll taxes | welfare analysis | unfunded social security system | unfunded social security system; sufficient statistic; overlapping generations; reduced form VAR | reduced form VAR | overlapping generations | social security system; overlapping generations; optimal payroll taxes; welfare analysis; reduced form VAR | social security system
    • jel: jel:E62 | jel:H55
      ddc: ddc:330

This paper proposes a new method for welfare analysis of unfunded social security systems. Based on an overlapping generations model with endogenous labor supply, we derive a formula for the evaluation of existing pay-as-you-go social security systems that depends on im... View more
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