The purpose of this paper is to improve our understanding of government solvency in OLG models with a given sequence of government expenditures. In our view, public debt is allowed if its level does not preclude the existence of a competitive equilibrium. We first consider the case where the...

In their Lectures on Macroeconomics (MIT Press, 1989), Chapter 2, Blanchard and Fischer study a basic model of capital accumulation in continuous time. We study the discrete time version of this model, considering the same topics: centralized growth and optimal growth, intertemporal equilibrium,...

This paper studies macroeconomic consequences of the development of pension funds, assuming they hold a significant share of capital assets. We assume that this concentration introduces imperfect competition, that lowers wages and increases capital return. We show that pension funds tend to...

We construct a two-periods OLG model in which households produce domestically a non-observable and transmissible commodity: "household culture" using cultural goods and transmitted culture as inputs. Parents fail to internalise the effect of unvoluntarily transmitted culture on their children's...

In this paper we study the dynamics of capital and unemployment in an OLG model with legal minimum wage. We analyse the conditions for existence of intertemporal equilibria with rational expectations and we study the dynamics for these equilibria. We show that the minimum wage may have positive...