This paper explains why workers retire earlier, and earlier at the same time as society becomes more and more indebted through increasing pay-as-you-go pension liabilities. To do so, we extend the standard two-overlapping-generations growth model to allow for endogenous labor participation in...

This paper analyzes the role of the structure of skills in economic development through investment in human capital. With a lack of cresit market for education and the presence of indivisibilities in investment in human capital as well as of congestion in the educational system, the initial...