The Costs of Increasing the Fertility Rate in an Endogenous Growth Model

In this paper, we apply an Overlapping Generations (OLG) model with endogenous fertility and a pay as you go (PAYG) pension system to find out what are the economic consequences of different policy measures to increase the number of children. Especially, we take into account the introduction of a child dependent PAYG pension system, child allowances financed by a labor income tax, and a reduction of the child rearing costs. Some authors have shown that in small open economies with exogenous growth it is possible to increase the fertility without harming any generation. Here we show that this is impossible in a model with endogenous growth

The Costs of Increasing the Fertility Rate in an Endogenous Growth Model

In this paper, we apply an Overlapping Generations (OLG) model with endogenous fertility and a pay as you go (PAYG) pension system to find out what are the economic consequences of different policy measures to increase the number of children. Especially, we take into account the introduction of a child dependent PAYG pension system, child allowances financed by a labor income tax, and a reduction of the child rearing costs. Some authors have shown that in small open economies with exogenous growth it is possible to increase the fertility without harming any generation. Here we show that this is impossible in a model with endogenous growth

The Level of Development and Tax Revenues in the Association of Southeast Asian Nations

Abstract : In this study, three distinct panel models, namely the Pool Ordinary Least Square (OLS), Fixed Effect (FE), and Random Effect (RE) models, were utilized to investigate the impact of foreign direct investment, trade openness, inflation rate, proportion of value added in agriculture, proportion of value added in industry, civil liberties, political rights index, official development assistance, and human development index on tax revenue in the six ASEAN countries, namely Cambodia, Indonesia, Malaysia, the Philippines, Thailand, and Vietnam, over the period of 2005 to 2021. The FE model was deemed more appropriate than the Pooled OLS model, as indicated by the FE test. Furthermore, a Hausman test was conducted, which revealed that the FE model was more suitable than the RE model. Regarding the empirical findings of the fixed effects (FE) model, it was observed that four indicators, namely FDI, TRADE, INF, and HDI, exhibit a statistically positive correlation with tax revenue. This implies that an increase in these variables would facilitate the promotion of tax revenue. Conversely, two variables, ARG and CIVLIB, despite exhibiting statistically significant correlations with tax revenue, demonstrate negative effects. This leads to the conclusion that an increase in these indicators would result in a decline in tax revenue

Comparative study on characteristics of ODA of China-Japan-Korea to Cambodia

Development assistance plays an important role in contributing to the development process of Cambodia. The top bilateral donors, China, Japan, and Korea provide ODA to Cambodia in different characteristics and from different perspectives. This study tries to pull out some implications for Cambodia as recipient and for donors in order to achieve the development of Cambodia's economy-effectively by using the ODA. As a viewpoint, ODA structure emphasizes the intention of donors, either for their self-interest and benefit or for achieving MDGs. China's ODA to Cambodia seems to distort the ODA allocation by other donors with unconditional loans or loans with conditionality focusing only on infrastructure. Cambodia benefits from the better infrastructure, but it has to pay the price set by China, even for concessional loans. The driving interests of Japan and Korea are more influenced by their national policy goals and the expected perceptions of their voters. The aid projects should at least catch the attention of national media or win obvious and unbiased support from the suffering people in the recipient countries