Longevity, health spending, and pay-as-you-go pensions
Grégory Ponthière
- Fonction : Auteur
- PersonId : 1129355
- ORCID : 0000-0002-7328-4441
- IdRef : 189782714
Résumé
This paper aims at investigating whether or not a utilitarian social planner should subsidize longevity-enhancing expenditures in an economy with a pay-as-you-go pension system. For that purpose, a two-period overlapping-generations model is developed, in which the probability of survival to the second period can be raised by private health spending. Focusing on the steady state, it is shown that the sign of the optimal subsidy on health expenditures tends to be negative when the replacement ratio is sufficiently large. Moreover, the optimal health subsidy is also shown to depend significantly on individual preferences and on the longevity production process.
Domaines
Economies et financesFormat du dépôt | Notice |
---|---|
Type de dépôt | Article dans une revue |
Résumé |
en
This paper aims at investigating whether or not a utilitarian social planner should subsidize longevity-enhancing expenditures in an economy with a pay-as-you-go pension system. For that purpose, a two-period overlapping-generations model is developed, in which the probability of survival to the second period can be raised by private health spending. Focusing on the steady state, it is shown that the sign of the optimal subsidy on health expenditures tends to be negative when the replacement ratio is sufficiently large. Moreover, the optimal health subsidy is also shown to depend significantly on individual preferences and on the longevity production process.
|
Titre |
en
Longevity, health spending, and pay-as-you-go pensions
|
Auteur(s) |
Pierre Pestieau
1, 2, 3
, Grégory Ponthière
1, 3
, Motohiro Sato
4
1
PSE -
Paris School of Economics
( 301309 )
- 48 boulevard Jourdan 75014 Paris
- France
2
CORE -
Center of Operation Research and Econometrics [Louvain]
( 48233 )
- 34, Voie du Roman Pays B-1348 Louvain-la-Neuve
- Belgique
3
PJSE -
Paris-Jourdan Sciences Economiques
( 1312 )
- 48 boulevard Jourdan 75014 Paris
- France
4
Hitotsubashi University
( 215902 )
- Japon
|
Public visé |
Scientifique
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Numéro |
1
|
Volume |
64
|
Vulgarisation |
Non
|
Langue du document |
Anglais
|
Page/Identifiant |
1-18
|
Comité de lecture |
Oui
|
Audience |
Non spécifiée
|
Date de publication |
2008
|
Nom de la revue |
|
Domaine(s) |
|
Indexation contrôlée |
|
Mots-clés |
en
Longevity, Health care, Payg social security
|
DOI | 10.1628/001522108X312041 |
ProdINRA | 316735 |
UT key WOS | 000256283700001 |
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