Grafenhofer, DominikDominikGrafenhoferJaag, ChristianChristianJaagKeuschnigg, ChristianChristianKeuschniggKeuschnigg, MirelaMirelaKeuschniggLutz, Wolfgang2023-04-132023-04-132007-05-06https://www.alexandria.unisg.ch/handle/20.500.14171/80728This paper presents a generalised model of overlapping generations with economic ageing of households. Economic age is defined as a set of personal attributes such as earnings potential and tastes that are characteristic of a person's position in the life-cycle. We separate the concepts of economic age and time since birth by assuming only a small number of different states of age. Agents sharing the same economic characteristics are aggregated analytically to a small number of age groups. The model thus allows for a very parsimonious approximation of life-cycle differences in earnings, wealth and consumption. As an illustration, we apply the model quantitatively to study the impact of demographic change.enOverlapping generationsageingdemographic changelife-cyclejournal article