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Past Event

Seminar: Dr Martin Weale, ‘Fiscal policy, fairness between generations, and national saving’

Dr Martin Weale, Bank of England Monetary Committee

Chair: Sir Tony Atkinson, James Martin Senior Fellow, Institute for Economic Modelling (EMod)

We assess fiscal policy from the perspective of fairness between generations and the relationship between this and national saving, in the context where the United Kingdom is one of the lowest saving of all the OECD economies. Cross-section and pooled data suggest that governments are in a position to influence national saving and we set out a simple overlapping generation model to show the effects of national debt, of pay-as-you-benefit systems, and of legacies and movements to land prices as means of effecting transfers between generations.

Having shown that governments can influence the distribution of resources between generations we then discuss three notions of fairness between generations: (i) that each cohort should pay its own way; (ii) that a social planner should reallocate resources between generations to achieve an inter-temporal optimum; and (iii) that resources should be reallocated so that generations alive at the same time have similar living standards. In the light of these observations we discuss appropriate responses to a variety of economic shocks and we conclude with implications for policy in the aftermath of the recession.

Seminars are free and open to everyone. They take place in the Old Indian Institute (corner of Holywell and Catte Streets) from 3.30-5.00pm on Thursdays during term time.

This event is part of a seminar series:

Seminar Series: "Intergenerational Justice: What do we owe future generations?"

What are the long-term consequences of decisions we make today, and to what extent should the interests of future generations be taken into account? There is a wide range of public policy challenges that require us to provide some sort of answer to these questions. This interdisciplinary seminar series brings together academics and experts to address the implications of critical question...

Post event resources

Event Details

24 February 2011 15:30 - 17:00


Lecture Theatre, Oxford Martin School

34 Broad Street (corner of Holywell and Catte Streets)