| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5100028 | Journal of Economic Dynamics and Control | 2006 | 14 Pages |
Abstract
This paper studies optimal public debt in a dynastic model with human capital externalities that cause human capital investment (fertility) to be below (above) its socially optimal level. By reducing fertility and raising human capital investment, the optimal debt can exceed 10% of output for plausible parameterizations.
Related Topics
Physical Sciences and Engineering
Mathematics
Control and Optimization
Authors
Jie Zhang,