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Consider a simplified world in which individuals live two periods: they work and finance retirees in the first, they get benefits in the second. The
Consider a simplified world in which individuals live two periods: they work and finance retirees in the first, they get benefits in the second. The first generation receives benefits without having paid payroll taxes. The last generation, if exists, will pay taxes without getting benefits. What about the middle generations? It depends on the growth rate of population and wages
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