2010 Fiscal Year Final Research Report

Social security pension and redistribution : A study on dynamic political economy

Research Project

Project/Area Number	21830046
Research Category	Grant-in-Aid for Research Activity Start-up
Allocation Type	Single-year Grants
Research Field	Economic theory
Research Institution	Shinshu University
Principal Investigator	ARAWATARI Ryo Shinshu University, 経済学部, 講師 (20547335)
Project Period (FY)	2009 – 2010
Keywords	動学的政治経済学 / 所得再分配政策 / 年金
Research Abstract	This research belongs to the growing literature on dynamic political economy. This research focuses on the borrowing constraint and trade, and investigates the interaction between endogenous determination of social security pension, redistribution policy and macroeconomic performance such as income inequality. As a result of analysis, I find that the borrowing constraint and trade change the voting behavior of agents, and let the size of social security pension and redistribution become estranged from an effective size in the equilibrium.