We propose an extended PAYG social security system that conditions pension benefits on the aggregate wage sum and on the wage of one’s children. The latter increases parents’ incentives to provide their children with good within-family education. However, since wages depend stochastically on parents’ unobservable investment in their children’s human capital, some insurance against the productiv...

Dynamic Efficiency and Pareto Optimality in a Stochastic OLG Model with Production and Social Security We analyze the interaction between risk sharing and capital accumulation in a stochastic OLG model with production. We give a complete characterization of interim Pareto optimality. Our characterization also subsumes equilibria with a PAYG social security system. In a competitive equilibrium i...

In this paper we examine the scope of cross-country variation in institutions related to social insurance. Building on the variation we find we assess the value of new micro data that is comparable across countries to help identify key parameters of individual behavior. We present multiple aspects of labor force participation, including disability benefit receipt, as well as wealth accumulation...

This paper studies the long-run aggregate and welfare effects of eliminating Social Security in a quantitative dynamic general equilibrium life-cycle model where parents and their children are linked by voluntary and accidental bequests. Social security in this model with impure altruism has a smaller effect on capital accumulation than in a pure life-cycle model, a bigger effect than in a mode...

This article discusses the experience of six conditional cash transfer programmes in Latin America, a model of social safety-nets which has grown to dominate the social protection sector in the region during the past decade. While they have been generally successful in terms of achieving their core objective, it is still not clear whether these programmes constitute the most cost-efficient or s...

Social Harmony Equation (SHE) leads the social system to the evolution direction of social by accumulation of “social combustion substances”, i.e., the accumulation of microcosmic entropy increase “basic particles” (individual) in social system from assimilated “basic social energy” to dissimilated one; meanwhile, the catalysis of “social combustion promoter” (social excitation energy) has enha...

We introduce social capital accumulation into a neoclassical model, showing how it differs from physical and human capital accumulation. We take the view that social capital is crucial to the enjoyment of socially provided goods and that it is mainly accumulated by means of participation to social activities. Under-investment in social capital may lead a growing economy to fall into a social po...

Scholars have long recognized the potential of Internet-based communication technologies for improving network research—potential that, to date, remains largely underexploited. In the first half of this paper, we introduce a new public dataset based on manipulations and embellishments of a popular social network site, Facebook.com.We emphasize five distinctive features of this dataset and highl...

Using a panel of establishments from the Annual Survey of Industries (ASI), I study the impact of the 1991 trade liberalization episode in India on the employment share of women. Contrary to the predictions of a taste-based discrimination model, I find that establishments exposed to larger output tariff reductions and import competition reduced the share of female workers. I also find that inpu...