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...

The paper models the behavior of an economy that accumulates capital stock and increases the life expectancy of their inhabitants at the same time. It is shown that as a country develops, it presents initially smaller growth rates on consumption and physical capital but larger expansions on life...

This paper addresses the causes and dynamics of pay-as-you-go social security financial crises. Its main hypothesis is there exists a self-reinforcing vicious circle between the social security system, the fertility rate and labor supply. We argue that changes in the pay-as-you-go social...

This paper deals with the view that income elasticity of health care is larger than one, as argued by empirical results on the literature. We build a theoretical model that shows that endogenous demographic transition may play a fundamental role on this result. It is argued that families must...

This paper explores the influence of economic variables in Chilean presidential elections. We use a panel where the dependent variable corresponds to the share of the vote obtained by the incumbent at a municipal level in the presidential elections of 1989, 1993 and 1999. We focus on the...

This paper addresses the upward trend in new drugs introduced by pharmaceutical firms, during the second half of the 20th century. We indicate that the continuous increases in population, and thus in the market size of this sector, will play a fundamental role in explaining these phenomena. We...

This paper identifies the economic fundamentals of the evolution of copper price. The main hypotheses of the paper is that cooper price is mainly determined by the evolution of demand of countries with large market power on that market. The novelty is that nominal exchange rate are one of the...

We study capital income taxation in a context where firms differ in productivity and, they decide whether to produce or not after comparing after-tax profits vis-`a-vis an outside alternative option. In our setup, the government taxes capital income, firms’ profits and labor income but does...

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...