Macro Implications of Demographic Change
At the macroeconomic level, population aging and demographic change have many implications on capital, labor and consumer goods markets. The Unit focuses on projecting the macro economic implications of demographic change and on research on the relevantmicro relations, e.g. how does the productivity of the growing number of older workers develop. A recently added field of research is on the current migration to Western Europe.
To project the economic implications the Unit constructs dynamic macroeconomic models. The work centers on the consequences of demographic change for growth, capital accumulation and returns on investment, international capital movements, consumer demand and productivity as a function of social policies.
Furthermore, to research the relationship of age and productivity, large high-frequency process generated “Big Data” on team composition and output are used to unambiguously identify the factors that affect the slope of the age-productivity profile.
A recently added field of research is on the current migration to Western Europe, e.g. whether these new migrants are a selective group with respect to labor market relevant skills. The main aim is to collect more information on the potentials of this new migration wave, and how to best integrate them, to understand the implications for the social systems, and to incorporate the effects into macro models.
The team also was involved in the design and production of the SAVE (Sparen und AltersVorsorgE) Study – a survey conducted on a representative panel of German households.