@techreport{NBERw9210,
 title = "The Effects of a Baby Boom on Stock Prices and Capital Accumulation in the Presence of Social Security",
 author = "Andrew B. Abel",
 institution = "National Bureau of Economic Research",
 type = "Working Paper",
 series = "Working Paper Series",
 number = "9210",
 year = "2002",
 month = "September",
 URL = "http://www.nber.org/papers/w9210",
 abstract = {Is the stock market boom a result of the baby boom? This paper develops an overlapping generations model in which a baby boom is modeled as a high realization of a random birth rate, and the price of capital is determined endogenously by a convex cost of adjustment. A baby boom increases national saving and investment and thus causes an increase in the price of capital. The price of capital is mean-reverting so the initial increase in the price of capital is followed by a decrease. Social Security can potentially affect national saving and investment, though in the long run, it does not affect the price of capital.},
}