Demographics and real interest rates: Inspecting the mechanism

The demographic transition can affect the equilibrium real interest rate through three channels. An increase in longevity—or expectations thereof—puts downward pressure on the real interest rate, as agents build up their savings in anticipation of a longer retirement period. A reduction in the popul...

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Bibliographic Details
Main Authors: Carvalho, C, Ferrero, A, Nechio, F
Format: Journal article
Published: Elsevier 2016