N ational T ransfer A ccounts 1 Consumption and Labor Income Profiles: Results Sang-Hyop Lee University of Hawaii at Manoa N ational T ransfer A ccounts 2 Outline Results for Consumption (from An-Chi) Results for Labor Income Why do they differ across countries? Time-series Results N ational T ransfer A ccounts 3 Attention All results are preliminary Sources of estimation are suppressed Not for citation Per capita values are divided by average per capita earnings of people ages for comparison (normalized) N ational T ransfer A ccounts 4 Consumption: Single Hump N ational T ransfer A ccounts 5 Double Hump N ational T ransfer A ccounts 6 Flat for Adults and Old Ages N ational T ransfer A ccounts 7 Rising at Old Age N ational T ransfer A ccounts 8 Labor Income: Thick Flat Tails N ational T ransfer A ccounts 9 Steep at Old Ages N ational T ransfer A ccounts 10 Steep at Early Ages N ational T ransfer A ccounts 11 Start late, exit late N ational T ransfer A ccounts 12 Why Differ across Countries? N ational T ransfer A ccounts 13 Consumption Income level matters C on elderly is high in rich countries, and is mostly due to medical expenditures C on children is low in low-income countries Public vs. Private C Richer countries have larger public consumption expenditures, on both health and education. Data problems CFD (durable) and CFR (housing) are not calculated in all economies NTA methods to allocate to individuals N ational T ransfer A ccounts 14 Labor Income Per capita labor income profile depends on several things. Richer countries have low LFPRs for children and elderly Richer countries have low share of self-employment income. Old age productivity varies across countries. Institution (legal age of work, mandatory schooling, minimum wage, seniority-based wage system) matters. Data problems Measurement of self-employment income N ational T ransfer A ccounts 15 Time-series and Cohort N ational T ransfer A ccounts 16 Consumption, Taiwan, N ational T ransfer A ccounts 17 Labor Income, Taiwan N ational T ransfer A ccounts 18 N ational T ransfer A ccounts 19 N ational T ransfer A ccounts 20 Acknowledgement Support for this project has been provided by the following institutions: the John D. and Catherine T. MacArthur Foundation; the National Institute on Aging: NIA, R37-AG and NIA, R01-AG025247; the International Development Research Centre (IDRC); the United Nations Population Fund (UNFPA); the Academic Frontier Project for Private Universities: matching fund subsidy from MEXT (Ministry of Education, Culture, Sports, Science and Technology), , granted to the Nihon University Population Research Institute. N ational T ransfer A ccounts 21 The End