Many countries, primarily in Europe, apply dismissal protections to permanent employment contracts but not to temporary ones, creating a two-tiered labor market in which younger and less educated …
This 1958 Journal of Political Economy paper by Paul Samuelson builds a deliberately stripped-down model of a world in which goods cannot be stored or invested -- nothing "keeps" -- so people can only …
This paper asks whether actual capitalist economies have overaccumulated capital relative to the Golden Rule — the condition Diamond (1965) showed can leave an economy "dynamically inefficient," so …
Can an asset's price rationally sit above what its dividends justify, forever? Tirole shows that in an economy of overlapping generations, a self-sustaining price bubble can exist exactly when the …
This paper builds a tractable model of an economy populated by finitely lived agents -- each facing a constant instantaneous probability of death p, with new cohorts continuously born -- and uses it …
PublishedClassicJournal of International EconomicsPublished Aug 1985
Persson extends Diamond's (1965) overlapping-generations model of public debt to open economies, asking how a one-time, debt-financed tax cut to the currently young generation redistributes welfare …
Online FirstReview of Economic StudiesOnline 16 Sep 2026
A popular argument — the "asset market meltdown" of the 1990s, revived as the "great demographic reversal" — holds that once the old start running down their savings, aging will push interest rates …
This 1987 American Economic Review paper by Elhanan Helpman and Assaf Razin shows that managing an exchange rate is never a purely monetary act: it is feasible only together with a monetary-fiscal …
This 1965 American Economic Review paper by Peter Diamond extends Samuelson's pure consumption-loan model by adding a produced, durable capital good, so that people can provide for retirement either …