Homburg (1990 and 1992) shows that the existence of productive land prevents an economy from being dynamically inefficient. The result is extended to a world with uncertain labour income. It is shown that PAYG social security fails to be Pareto improving on almost all paths of economic growth....

We analyze the problem of harmonizing public debt and public pension schemes in a multi-jurisdictional setting. Our main findings are that harmonization seems to be necessary on efficiency grounds if households can freely migrate between the jurisdictions. On the other hand, harmonization is...