We construct a simple growth model where agents with uncertain survival choose schooling time, life-cycle consumption and the number of children. We show that rising longevity reduces fertility but raises saving, schooling time and the growth rate at a diminishing rate. Cross-section analyses...

Optimal public investments in human capital through subsidizing private education or providing public education are considered in an endogenous growth model with externalities. Subsidizing private education stimulates growth, improves welfare, and has no distributional effect. While reducing...

Intergenerational earnings mobility is analyzed in a model where human capital is produced using schooling and parental time. In steady states more mobile societies have less inequality, but in the short run higher mobility may result from an increase in inequality. Starting from the same...

This paper considers an endogenous transition from a self-sufficient traditional economy to a market economy and its consequences on fertility and growth. The transition can occur if private intergenerational transfers are unable to secure old-age consumption as adequately as savings on capital...