The paper develops a general equilibrium model where population sources, such as fertility and mortality rates, are chosen variables. It is shown that the evolution of population over time depends on income and relative prices of mortality and fertility rates. Initially as a country develops,...

We explore the stabilizing effects of unemployment insurance in Chile. A dynamic general equilibrium model is calibrated for the Chilean economy for the 1960-2000 period. We assume that the economy is subject to exogenous technological shocks and that a fraction of the population is liquidity...

In this paper, we explore the effects of government subsidies (monetary and in-kind) in presidential elections in Chile in 1989-2000. Our dependent variable is the percentage of votes obtained by the incumbent. We use a panel with three periods (the elections of 1989, 1993 and 1999) and 228...

This paper addresses the role of taxes over the firm’s investment decisions. We propose a framework that considers microeconomic decisions to evaluate aggregate effects of taxes over the economy’s investment dynamics. We obtain strong results and policy recommendations. First, and contrary...

This paper develops a simple model in which individuals rationally determine their body-mass by choosing food ingestion and time spent exercising. We show that multiple equilibria in body-mass might exist due to two forces with opposite effects. Firstly, an increase in body-mass has a negative...

The paper describes the effects of the non-funded social security systems over fertility rate and labor supply(typically family choice variables). We show that changes on fiscal policy may induce subsequent changes on family choices which produce an endogenous problem of sustainability over the...

This paper explores which large economy blocks determine foreign inflation around the world. In the analysis, we focus on importable goods of 15 countries ranging from 1992 to 2002 at monthly basis. Using a SUR estimation, we find the US driving the inflation of importable goods around the...

We study the relation between inflation rate and relative price variability using data of prices on 23 disaggregated food items since 1960 to 2003 in Chile. The behavior of inflation rate is quite variable in that country during that time span and more interestingly, there are periods of time in...

The paper explores the effects of the social security system over retirement and labor supply decision of individuals aged 55 to 65 in Chile. We use the 1998 CASEN survey elaborated by the Chilean government. Due to regulations established by the current social security law, two social security...