"Presenting innovative modelling approaches to the analysis of fiscal policy and government debt, this book moves beyond previous models that have relied upon the assumption that various age-specific rates and policy variables remain unchanged when it comes to generating government expenditures...

This paper extends behavioural microsimulation modelling so that third round effectsof a policy change can be simulated. The first round effects relate to fixed hoursof work, while second round effects allow for changes in desired hours of work atunchanged wages. These allow for endogenous...