We explore the feasibility of a funded pension system with intergenerational risk sharing when participation in the …'s willingness to do so. We characterise equilibria with voluntary participation and show that the likelihood of their existence … increases with risk aversion and financial market uncertainty. We find that it is likely that mandatory participation is …

theory predicts. Empirical evidencesuggests that social and political instability is a major reason for thedivergence between …

Xiaokai Yang's theory of economic specialization under increasing returns to scale is a formal development of the … fundamental Smith-Young theorem on the extent of the market and the social division of labor. In this theory specialization and …