Welfare

The aim of this paper is to analyze the macroeconomic effects of parametric reforms. An adjusted Auerbach-Kotlikoff model is used to study the effects of decreasing replacement and contribution rates of the pension system. The first part concentrates on the macroeconomic effect of reforms. Our results indicate that reducing the replacement and contribution rates increase the capital stock and decrease the interest rates so the economy moves closer towards the golden rule. Under these parametric reforms, there is a long-run increase in capital stock, wages, labor supply, consumption and income of the future generations. We then measure the welfare effects of different generations and finally show how to use a Lump-Sum Redistribution Authority to calculate an aggregate efficiency measure of policy reforms. Our findings suggest an aggregate efficiency gain of 32.14 % (for replacement rate) and 4.04 % (for contribution rate) compared to the initial equilibrium.

Purpose-The effects of tourism on rural employment in the village of Varkāneh in Hamedan County, Iran were investigated. Rural tourism is one of the practical solutions to solve the problem of employment in these areas. This industry with its special dynamics can have major effects on the economic, social and environmental situation, especially at the local level.Methodology-The study is an applied correlational-descriptive study using a quantitative approach and a survey methodology. The research population was composed of 250 households out of whom 148 people were sampled by simple randomization. The sample size was determined by Krejcie and Morgan’s table. The data collection instrument was a questionnaire whose items were arranged in three sections. Data were analyzed by path analysis and structural equation modeling using the WarpPLS software package.Findings-The results show that the variables of economy, resources, occupation, agriculture, social capital, and welfare have directly influenced employment. The strongest impact on rural employment has been related to economy with a path coefficient of 0.364. In total, 56 percent of the dependent variable (increase in rural employment) in Verkane village is explained by five factors of economic effects, infrastructure and resources, agricultural effects, social capital, and social welfare.Originality/value-Tourism, through the development of infrastructure such as the development of residences, transportation, shops and public places, telephone and internet, and infrastructures such as bridges, roads and mosques, has led to employment growth in the studied area. Therefore, one of the solutions for tourism development is to create tourism infrastructures in rural areas in such a way that this will lead to an increase in the number of tourists. The results of this research can help to plan for the development of tourism in rural areas and especially to solve the problem of employment in these areas.