demographic shock matter: in the case of a lower mean or a higher variance, a smaller average contribution results from the vote …

This paper studies the interaction between macro-economic risk and pay-go social security. For this, it uses an applied … general equilibrium model with overlapping generations of risk-averse households. The sources of risk are productivity shocks … and depreciation shocks. The risk profile of pensions differs from that of financial assets, because pensions are linked …

. After a negative macroeconomic shock, relatively risk tolerant investors sell risky assets while more risk averse investors … risk after a negative macroeconomic shock and lower exposure after a positive shock …This paper develops an overlapping generations model of optimal rebalancing where agents differ in age and risk …