Fiscal Accountability and Population Aging

Edited by Robert L. Clark, Professor of Economics and Professor of Management, Innovation and Entrepreneurship, North Carolina State University, US, YoungWook Lee, Fellow, Department of Public Finance and Social Policy, Korea Development Institute (KDI), South Korea and Andrew Mason, Professor Emeritus of Economics, University of Hawaii at Manoa and Adjunct Senior Fellow, East-West Center, Hawaii, US

• Contents:Foreword by Jeong Pyo Choi ix1 Introduction and overview 1Robert Clark, YoungWook Lee and Andrew MasonPART 1 FISCAL SUSTAINABILITY AND ACCOUNTABILITY2 An evaluation of fiscal sustainability in Korea 13SeongTae Kim3 Implications of delaying US Social Security financing reform:a look at the measurement, structural and generational issues 35Sylvester J. SchieberPART II IMPROVING FISCAL ACCOUNTABILITY4 Enhancing accountability of Korea’s government funds systemthrough consolidated management of surplus money inbudget-type funds 73Yongok Choi5 The long-term impact of aging on the federal budget 93Louise Sheiner6 Improving fiscal accountability of tax expenditure: the case ofthe Earned Income Tax Credit in Korea 118YoungWook LeePART III FISCAL SOUNDNESS AND ACCOUNTABILITY7 The future of public employee pensions in the United States 137Andrew G. Biggs8 Fiscal implications of the 2015 government employees pensionreform in Korea 155Dohyung Kim, Taesuk Lee and Yongok ChoiPART IV FISCAL ACCOUNTABILITY SECTOR9 Medicare financing and affordability 183Marilyn Moon10 SME financial policy in Korea: evaluation andrecommendations 198Chang Gyun Park11 Enhancing economic growth and productivity through efficientpublic infrastructure management 224Kang-soo Kim and Weh-Sol MoonIndex 239

'Population aging tends to increase government expenditures and reduce tax revenues, thus jeopardizing fiscal sustainability. Therefore, aging urgently strengthens the case for strengthening fiscal accountability, which is indispensable for fiscal sustainability. This comprehensive book by world-class experts is a must-read for all policymakers, researchers, and general readers interested in the link between demographic change and the health of public finances.'