Department of Finance and Business Economics
Marshall School of Business
University of Southern California
Los Angeles, CA 90089
Institutional Affiliation: University of Southern California
Information about this author at RePEc
NBER Working Papers and Publications
|September 2013||Fiscal Reform and Government Debt in Japan: A Neoclassical Perspective|
with Gary Hansen: w19431
Past government spending in Japan is currently imposing a significant fiscal burden that is reflected in a net debt to output ratio near 150 percent. In addition, the aging of Japanese society implies that public expenditures and transfers payments relative to output are projected to continue to rise until at least 2050. In this paper we use a standard growth model to measure the size of this burden in the form of additional taxes required to finance these projected expenditures and to stabilize government debt. The fiscal adjustment needed is very large, in the range of 30-40% of total consumption expenditures. Using a distorting tax such as the consumption tax or the labor income tax requires either tax to rise to unprecedented highs, although the former is much less distorting than the ...
Published: Review of Economic Dynamics Available online 22 April 2015 In Press, Corrected Proof — Note to users Cover image Fiscal reform and government debt in Japan: A neoclassical perspective ☆ Gary D. Hansena, , Selahattin İmrohoroğlub citation courtesy of
|November 2007||Business Cycle Fluctuations and the Life Cycle: How Important is On-The-Job Skill Accumulation?|
with Gary D. Hansen: w13603
We study the effects of on-the-job skill accumulation on average hours worked by age and the volatility of hours over the life cycle in a calibrated general equilibrium model. Two forms of skill accumulation are considered: learning by doing and on-the-job training. In our economy with learning by doing, individuals supply more labor early in the life cycle and less as they approach retirement than they do in an economy without this feature. The impact of this feature on the volatility of hours over the life cycle depends on the value of the intertemporal elasticity of labor supply. When individuals accumulate skills by on-the-job training, there are only weak effects on both the steady-state labor supply and its volatility over the life cycle.
Published: Hansen, Gary D. & Imrohoroglu, Selahattin, 2009. "Business cycle fluctuations and the life cycle: How important is on-the-job skill accumulation?," Journal of Economic Theory, Elsevier, vol. 144(6), pages 2293-2309, November. citation courtesy of