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Macroeconomic Consequences of Demographic Change: Modeling Issues and Applications

Condition: BRAND NEW
ISBN: 9783642001451
Author(s): Sebastian Rausch
Format: Paperback
Year: 2009
Edition: 09200th
Publisher: Springer
Dimensions: 156 x 234 x 8 (w x l x h)
Pages: 135
Series: Lecture Notes in Economic and Mathematical Systems
Series Number: 621

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This book presents a new computational approach to solving large-scale Auerbach-Kotlikoff Overlapping Generations (OLG) models in a complementarity format. Unlike with integrated solution methods, the proposed decomposition algorithm allows for the solution of multi-regional and multi-sectoral OLG models that exhibit a large number of heterogeneous consumers and a variety of household-specific effects. By broadening the scope of economic analysis, this new approach provides a powerful tool for applied general equilibrium modelers. In this book, the algorithm is applied to the macroeconomics of demographic change, demonstrating its flexibility and scope as a solution concept. With a specific analysis on the implications of globally unsynchronized demographic patterns for international trade, the book also explores the sectoral and distributional consequences of an aging population in Germany.

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