TY - BOOK ID - 85290121 TI - Demographics, Pension Systems and the Saving-Investment Balance AU - Chai, Hua. AU - Kim, Jun. PY - 2018 SN - 148439044X 1484390407 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Balance of payments KW - Current account balance (International trade) KW - International payments, Balance of KW - Foreign exchange KW - Terms of trade KW - Balance of trade KW - International liquidity KW - Econometric models. KW - Labor KW - Macroeconomics KW - Public Finance KW - Demography KW - Macroeconomics: Consumption KW - Saving KW - Wealth KW - International Investment KW - Long-term Capital Movements KW - Current Account Adjustment KW - Short-term Capital Movements KW - Open Economy Macroeconomics KW - Social Security and Public Pensions KW - Economics of the Elderly KW - Economics of the Handicapped KW - Non-labor Market Discrimination KW - Nonwage Labor Costs and Benefits KW - Private Pensions KW - Health: General KW - Pensions KW - Population & demography KW - Health economics KW - Private savings KW - Pension spending KW - Aging KW - Health KW - National accounts KW - Expenditure KW - Population and demographics KW - Saving and investment KW - Population aging KW - United States UR - https://www.unicat.be/uniCat?func=search&query=sysid:85290121 AB - This paper studies the effect of demographic change on national saving, global interest rates, and international capital flows, focusing on the role of the public pension system. We develop a small open economy overlapping generations model to illustrate the channels through which demographic variables and pension system generosity interact to affect both private and public saving behavior. We then extend this framework to a two-country setting and simulate scenarios of demographic change and pension reform. We find that the generosity of the pension system plays an important role in determining the movement of the global interest rate and patterns of international capital flows. ER -