We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Child Allowance and Economic Growth.
- Authors
Kei Murata
- Abstract
This paper analyzes the interaction between child allowances and human capital accumulation by an overlapping-generations model, mainly based on Cardak (2004) and Groezen, Leers and Mejidam (2003). Although Cardak (2004) considers human capital accumulation and assumes it is determined by governmental or parental expenditures on education and by parental human capital endowments, he ignores child allowances and assumes that population size is constant in each period. Therefore, endogenous fertility does not influence educational expenditures in his model. Although Groezen, Leers and Mejidam (2003) consider endogenous fertility and child allowances, they assume that individuals' labor income equals the wage rate and disregard human capital accumulation. We assume that endogenous fertility influences educational expenditures and introduce child allowances that are financed by income taxes. We then consider the effect of policy, which increases child allowances, on endogenous fertility, human capital accumulation, and economic growth.
- Subjects
ECONOMIC expansion; CAPITAL gains; HUMAN capital; INCOME tax; WAGES
- Publication
Global Business & Economics Anthology, 2022, Vol 1, p1
- ISSN
1553-1392
- Publication type
Article
- DOI
10.47341/GBEA.20127