Greying the Budget: Ageing and Preferences Over Public Policies

34 Pages Posted: 1 Feb 2016

See all articles by Luiz R. de Mello

Luiz R. de Mello

OECD

Simone Schotte

German Institute of Global and Area Studies (GIGA)

Erwin R. Tiongson

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS); Institute for the Study of Labor (IZA); University College London - CReAM - Centre for Research and Analysis of Migration; Asian Institute of Management

Hernan Winkler

World Bank

Multiple version iconThere are 3 versions of this paper

Abstract

This paper looks at how individual preferences for the allocation of government spending change along the life cycle. Using the Life in Transition Survey II for 34 countries of Europe and Central Asia, we find that older individuals are less likely to support a rise in government outlays on education and more likely to support increases in spending on pensions. These results are very similar across countries, and they do not change when using alternative model specifications, estimation methods and data sources. Using repeated cross‐sections, we control for cohort effects and confirm our main results. Our findings are consistent with a body of literature arguing that conflict across generations over the allocation of public expenditures may intensify in ageing economies.

Keywords: ageing, public spending, cohort effects

JEL Classification: H3, H5, J14

Suggested Citation

de Mello, Luiz R. and Schotte, Simone and Tiongson, Erwin R. and Winkler, Hernan Jorge, Greying the Budget: Ageing and Preferences Over Public Policies. Available at SSRN: https://ssrn.com/abstract=2725042 or http://dx.doi.org/10.2139/ssrn.2725042

Luiz R. De Mello (Contact Author)

OECD ( email )

2 rue Andre Pascal
Paris Cedex 16, 75775
France
+33-1-45.24.87.52 (Phone)

Simone Schotte

German Institute of Global and Area Studies (GIGA) ( email )

Neuer Jungfernstieg 21
Hamburg, DE D-20354
Germany

Erwin R. Tiongson

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS) ( email )

Washington, DC 20057
United States

Institute for the Study of Labor (IZA) ( email )

P.O. Box 7240
Bonn, D-53072
Germany

University College London - CReAM - Centre for Research and Analysis of Migration ( email )

Drayton House
30 Gordon Street
London, WC1H 0AX
United Kingdom

Asian Institute of Management ( email )

123 Paseo de Roxas
Makati, 1260
Philippines

Hernan Jorge Winkler

World Bank ( email )

1818 H Street, NW
Washington, DC 20433
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
17
Abstract Views
320
PlumX Metrics