A drastic decline in fertility rates in Korea is accelerating the unprecedentedly rapid population ageing. This phenomenon calls into question what role the economic forces play in the decisions and which public policies can be effective. As population ageing induces a shortage of labor force...

Implicit pension debt involved in existing pay-as-you-go public pension schemes is nowadays seen as an important determinant of the long-term sustainability of general government finances. Explicit up-dated calculations regarding its size are however largely lacking. The present paper takes up...

This paper examines how social security reform and childcare support affect fertility and social welfare, based on a simple overlapping generations model with endogenous fertility. In an open economy with no altruism, introducing a childcare subsidy is the second-best solution under an aging...

Social security tends to be unsustainable in nature in that it reduces individuals' demand for children as a measure to support their old age, which in turn undermines the financial base of social security. Using a simple overlapping-generations model with endogenous fertility and income...