The main purpose of this paper is to investigate the relationship between ageing and the development in the aggregate health care expenditure in EU countries on a macroeconomic level when economic and institutional variables are included. The results of the model will be used to extrapolate the...

One of the most important controversies in health economics concerns the question whether the imminent aging of the population in most OECD countries will place an additional burden on the tax payers who finance public health care systems. Proponents of the "red-herring hypothesis" argue that...

Despite similar levels of per capita income, education and technology, the development of labour income shares in OECD countries has displayed different patterns since 1960. The paper examines the role of demography in this regard. We first use a standard overlapping generations model to derive...