(None)

We discuss a simple model in which parents and children make investments in the children’s education, investments for other purposes, and parents can transfer cash to their children. We show that for an identifiable set of parent-child pairs, parents will rationally under-invest in their...

We develop a model of retirement and human capital investment to study the effects of tax and retirement policies. Workers choose the supply of raw labor (career length) and also the human capital embodied in their labor. Our model explains a significant fraction of the US-Europe difference in...