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that risk-averse individuals discount positive economic expectations when forming their opinion regarding privatization …, and that risk acceptant individuals weigh positive expectations more heavily. Thus, the endearing effect of economic … confidence on privatization is greater as risk tolerance increases. We use national survey data from the 2008 Cooperative …
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This paper presents four policy options to make Social Security sustainable under the coming demographic shift: 1) increase payroll taxes by 6 percentage points, 2) reduce the replacement rates of the benefit formula by one-third, 3) raise the normal retirement age from sixty-six to...
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This paper uses a heterogeneous-agent overlapping-generations model to examine the fiscal and distributional consequences of introducing a means test in US Social Security. I find that a means test, that is, conditioning benefit payments on a household's earnings or assets, leads to a higher...
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