Fiscal Policy to Promote Efficiency and Quality of Life of the Working Elderly

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Published: Apr 28, 2020
Keywords:
Ageing Labor Force Efficiency and Quality of Life of Working Elderly Fiscal Policies

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Euamporn Phijaisanit
Faculty of Economics, Thammasat University

Abstract

Ageing society is an important phenomenon that generates wide awareness since all generations can be affected in various dimensions. Previous research proposed an increase in the employment of elderly workers in the economy. This research has a continuing goal to propose and empirically analyze the feasibility of fiscal policy that can promote the efficiency and quality of life of the elderly workers and its marginal impacts on economic growth and government fiscal status. The research employs scenario analysis using simulations. Providing that at least 50 percent of the elderly workers participate in the economy, the marginal GDP effects of the policy will be approximately 6 - 13 percent. Regarding the fiscal impact, the net marginal tax revenue will increase by at least approximately 0.46 - 1.28 percent. Net incremental tax revenue will decrease as the value of tax deduction increases. Overall, such policy can be economically worthwhile as it can increase the marginal GDP and maintain the efficiency and good health of the elderly workers in the long term. The policy is sustainable as long as the marginal tax revenue exceeds the marginal tax deductions from the policy.

Article Details

How to Cite
Phijaisanit, E. (2020). Fiscal Policy to Promote Efficiency and Quality of Life of the Working Elderly. Journal of Social Development and Management Strategy, 22(1), 1–21. Retrieved from https://so04.tci-thaijo.org/index.php/jsd/article/view/241633
Issue
Vol. 22 No. 1 (2020): April
Section
บทความวิจัย Research Article

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