摘要：We use a calibrated overlapping generations model economy to quantify the consequences of the demographic and the educational transitions for the viability of the Spanish public pension system.The households in our model economy differ in their education and in the random market value of their time, they understand the link between payroll taxes and public pensions, and they choose when to retire from the labor force.We find that the demographic transition makes the public pension system in our model economy unsustainable.The pension system starts running a deficit in the year 2016, the pension fund is depleted in the year 2029, and the pension system debt reaches a shocking 277 percent of the model economy output by the year 2060.
