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on Economics of Ageing |
| By: | Tim BUYSE (SHERPPA, Ghent University); Freddy HEYLEN (SHERPPA, Ghent University and UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES)); Renaat VAN DE KERCKHOVE (SHERPPA, Ghent University) |
| Abstract: | We study the effects of pension reform in a four-period OLG model for an open economy where hours worked by three active generations, education of the young, the retirement decision of older workers, and aggregate per capita growth, are endogenous. Next to the characteristics of the pension system, our model assigns an important role to the composition of fiscal policy. We find that the model explains the facts remarkably well for many OECD countries. Our simulation results prefer an intelligent pay-as-you-go pension system above a fully-funded private system. When it comes to promoting employment, human capital, growth, and welfare, positive effects in a PAYG system are the strongest when it includes a tight link between individual labor income (and contributions) and the pension, and when it attaches a high weight to labor income earned as an older worker to compute the pension assessment base. |
| Keywords: | employment by age, endogenous growth, retirement, pension reform, overlapping generations |
| JEL: | E62 H55 J22 O41 |
| Date: | 2011–06–30 |
| URL: | http://d.repec.org/n?u=RePEc:ctl:louvir:2011025&r=age |
| By: | Giles, John; Wang, Dewen; Cai, Wei |
| Abstract: | This paper highlights the employment patterns of China's over-45 population and, for perspective, places them in the context of work and retirement patterns in Indonesia, Korea, the United States, and the United Kingdom. As is common in many developing countries, China can be characterized as having two retirement systems: a formal system, under which urban employees receive generous pensions and face mandatory retirement by age 60, and an informal system, under which rural residents and individuals in the informal sector rely on family support in old age and have much longer working lives. Gender differences in age of exit from work are shown to be much greater in urban China than in rural areas, and also greater than observed in Korea and Indonesia. Descriptive evidence is presented suggesting that pension eligible workers are far more likely to cease productive activity at a relatively young age. A strong relationship between health status and labor supply in rural areas is observed, indicating the potential role that improvements in access to health care may play in extending working lives and also providing some basis for a common perception that older rural residents tend to work as long as they are physically capable. The paper concludes with a discussion of measures that may facilitate longer working lives as China's population ages. |
| Keywords: | Labor Markets,Labor Policies,Population Policies,Pensions&Retirement Systems,Work&Working Conditions |
| Date: | 2011–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:5853&r=age |
| By: | Rudolf Winter-Ebmer; Mario Schnalzenberger (Department of Economics, Johannes Kepler University Linz, Austria); Nicole Schneeweis; Martina Zweimüller |
| Abstract: | We study the relationship between job quality and retirement using panel data for European countries (SHARE). While previous studies looked at the impact of bad working conditions on retirement intentions, we can use the panel dimension to study actual retirement as well as other pathways out of a job. As indicators for job quality we use three different approaches: overall job satisfaction, over- and undereducation for a particular job as well as effort-reward imbalance which measures the imbalance between a worker's effort and the rewards he or she receives in turn. |
| Keywords: | retirement, job quality, job satisfaction, educational mismatch, effort-reward imbalance, SHARE |
| JEL: | J14 J18 J26 J28 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:jku:nrnwps:2011_05&r=age |
| By: | Frank T. Denton; Ross Finnie; Byron G. Spencer |
| Abstract: | Measures of retirement that take a cohort perspective are appealing since retirement patterns may change, and it would be useful to have consistent measures that would make it possible to compare retirement patterns over time and between countries or regions. We propose and implement two measures. One is based on administrative income tax records and relates to actual cohorts; the other is based on a time-series of cross sectional labour force surveys and relates to pseudo-cohorts. We conclude that while the tax-based observations for actual cohorts provide a richer data set for analysis, the estimated measures of retirement and transition from work to retirement based on the two data sets are quite similar. |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:mcm:qseprr:446&r=age |
| By: | Jones, Melanie K. (Swansea University); Latreille, Paul L. (Swansea University); Sloane, Peter J. (Swansea University); Staneva, Anita V. (Swansea University) |
| Abstract: | This paper uses the fourth European Working Conditions Survey (2005) to address the impact of age on work-related self-reported health outcomes. More specifically, the paper examines whether older workers differ significantly from younger workers regarding their job-related health risk perception, mental and physical health, sickness absence, probability of reporting injury and fatigue. Accounting for the 'healthy worker effect', or sample selection – in so far as unhealthy workers are likely to exit the labour force – we find that as a group, those aged 55-65 years are more 'vulnerable' than younger workers: they are more likely to perceive work-related health and safety risks, and to report mental, physical and fatigue health problems. As previously shown, older workers are more likely to report work-related absence. |
| Keywords: | endogeneity, fatigue, absence, physical health, mental health, healthy worker selection effect |
| JEL: | I0 J28 J81 J20 |
| Date: | 2011–10 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp6044&r=age |
| By: | Jere R. Behrman (Department of Economics, University of Pennsylvania); Susan W. Parker (Division of Economics, Center for Research and Teaching in Economics (CIDE)) |
| Abstract: | Conditional cash transfer (CCT) programs link public transfers to human capital investment in hopes of alleviating current poverty and reducing its intergenerational transmission. Whereas nearly all studies of their impacts have focused on youth, these CCT programs may also have an impact on aging adults, by increasing household resources or inducing changes in allocations of time of various household members, that may be of substantial interest, particularly given the rapid aging of most populations. This paper contributes to this under-researched area by examining health and work impacts on the aging for the best known and most influential of these programs, the Mexican PROGRESA/Oportunidades program. For a number of health indicators, the program appears to significantly improve health, with impacts that are larger with a greater time receiving the program. However, most of these health impacts are concentrated on women. |
| Keywords: | conditional cash transfers, aging, health, Mexico |
| JEL: | I38 |
| Date: | 2011–10–07 |
| URL: | http://d.repec.org/n?u=RePEc:pen:papers:11-032&r=age |