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on Economics of Ageing |
| By: | Cantarero-Prieto, David; Pascual-Sáez, Marta; Blázquez-Fernández, Carla |
| Abstract: | In recent years, population aging has received great attention in developed countries given the social challenges that it entails. At this regard, it is well documented that this collective is associated with fewer resources (both physical and economic). Furthermore, ageing societies incite an increase in the inactive population and so, threaten the financial viability of the social protection systems. This study investigates the effects of different factors on early retirement intentions among European workers aged 50-65 using the latest available data (waves 1-6: 2004-2015) from the Survey of Health, Ageing and Retirement in Europe (SHARE). We shed new light on this causal relationship controlling for job characteristics and well-being indicators. Our empirical results based on logistics regressions suggest that people that is satisfied with their jobs (OR = 0.61; 95 % C.I. 0.53, 0.71), with very high appreciation of their quality of life (OR = 0.56; 95 % C.I. 0.49, 0.64) or with good health (OR = 0.55; 95 % C.I. 0.47, 0.65) would have less intentions of early retirement, that is, decreased odds of work exit. Besides, social-environment would matter. |
| Keywords: | Early retirement intentions; Job satisfaction; Quality of life; Health; SHARE; Panel. |
| JEL: | I10 J26 J28 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:89077&r=age |
| By: | Elenka Brenna (Università Cattolica del Sacro Cuore; Dipartimento di Economia e Finanza, Università Cattolica del Sacro Cuore); Lara Gitto |
| Abstract: | In recent years, there has been a growing interest among scholars on Information and Communication Technologies (ICTs) and their beneficial effects on elderly wellbeing; almost all contributions support the positive impact of ICTs among older population because their use has been demonstrated to enhance social participation and psychosocial wellbeing. This paper contributes to the extant literature by using a specific and comprehensive measure of quality of life, the WHOQol-Bref, on a sample of 341 individuals attending the University of Third Age in an Italian town. Through different model specifications, we are able to demonstrate the positive impact of ICTs’ use on elderly quality of life. Results corroborate the findings of existing literature and provide insight on possible policy measures framed in an active aging approach. |
| Keywords: | ICT, active ageing policies, quality of life, WHOQol-Bref, OLS. |
| JEL: | I12 J14 |
| Date: | 2018–09 |
| URL: | http://d.repec.org/n?u=RePEc:ctc:serie1:def073&r=age |
| By: | Miyake, Yusuke; Yasuoka, Masaya |
| Abstract: | In an aging society, income inequality persists as a severe social problem. Many factors bring about income inequality. Our paper presents consideration of intergenerational mobility and income inequality. Children can not obtain an education investment from their parents if the parents are poor. However, children that are reared by rich parents have a high probability of becoming skilled workers because of sufficient education investment without expending a large amount of effort. Not only education subsidies, but also postponing retirement timing and an increase in pension benefit increase the effort to become a skilled laborer. Therefore the intergenerational mobility from poor to the rich is increased. This paper presents an examination of the effects of an aging population on intergenerational mobility. |
| Keywords: | Aging population, Education, Intergenerational mobility, Skilled and unskilled labor |
| JEL: | H23 I24 |
| Date: | 2018–09–23 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:89139&r=age |
| By: | Wei Kong; Shawn Ni (Department of Economics, University of Missouri - Columbia); Michael Podgursky (Department of Economics, University of Missouri - Columbia); Weiwei Wu |
| Abstract: | We examine how pension rule changes affect teacher retirement by estimating a structural retirement model on a large cohort of late career Missouri public school teachers. In so doing we address several statistical challenges that arise in estimating dynamic retirement models. The resulting estimates produce good in and out-of-sample fit. Counter-factual simulations suggest that Missouri's 1990s pension enhancements led to earlier retirement by about 0.4 years on average for the 1994 cohort and by more than one year in a steady state. Enhancements increased steady state pension liabilities by 16 percent for senior teachers. |
| Keywords: | teachers' pensions, sample selection bias, expectation of policy rules |
| JEL: | I21 J26 J38 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:umc:wpaper:1814&r=age |
| By: | Alicia H. Munnell; Andrew D. Eschtruth |
| Abstract: | Since 1939, Social Security has provided benefits to widows to help prevent a precipitous drop in their standard of living after their spouse dies. Today, many policy experts are concerned that these benefits may be inadequate for two reasons: 1) widows remain a poor segment of the elderly population; and 2) with the increased labor force participation of women, widow benefits as a percentage of the coupleÕs combined benefits have been declining. Improving benefits for widows is an area in which some agreement has emerged. A popular approach is to increase the widow benefit and cover the cost by reducing the spousal benefit - essentially shifting money from a time when both members of the couple are alive to a time when only one member is alive. This brief on widow benefits is the third in a series on modernizing Social Security to account for changing social, economic, and demographic circumstances. The discussion proceeds as follows. The first section describes the economic status of widows. The second section explains why widow benefits have been declining relative to the coupleÕs income. The third section summarizes the standard option for improving widow benefits. The fourth section assesses this option based on three criteria: targeting efficiency, administrative feasibility, and cost offsets. The final section concludes that boosting the widow benefit, while limiting the size of the increase for higher earners, could be a well-targeted way to help reduce poverty for this vulnerable group. |
| Date: | 2018–09 |
| URL: | http://d.repec.org/n?u=RePEc:crr:issbrf:ib2018-17&r=age |
| By: | Karen Dynan (Peterson Institute for International Economics) |
| Abstract: | This paper considers the implications of a sustained period of low productivity growth for the design of tax systems. While the specific changes needed will vary by country and depend on how other features of the economic environment change, several broad conclusions emerge. First, lower productivity growth will exacerbate future fiscal shortfalls associated with aging populations; even assuming that interest rates are also lower, tax systems may need to collect more revenue per dollar of GDP to support their older populations. Second, with lower productivity growth likely to result in lower wages, labor force participation rates may drop further, bolstering the case for more tax incentives for working. Third, the potentially flatter lifetime income profiles associated with lower productivity growth, along with the possibility that fiscal strains will lead to cuts in government retirement benefits, may warrant increasing tax incentives for retirement saving. Finally, the lower real interest rates that would likely accompany sustained low productivity growth may reduce the future efficacy of monetary policy as a macroeconomic stabilization tool, suggesting that countries would be well-served by building more automatic stabilizers into their tax systems. |
| Keywords: | productivity, secular stagnation, taxes, fiscal sustainability |
| JEL: | E1 H2 H6 |
| Date: | 2018–09 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp18-11&r=age |
| By: | Congressional Budget Office |
| Abstract: | This report presents additional information about CBO’s long-term projections for Social Security’s revenues and outlays and its analysis of benefits and payroll taxes for recipients grouped by birth year and lifetime earnings. Under current law, CBO projects, Social Security’s trust funds, considered together, will be exhausted in 2029, and shortfalls will be larger than CBO projected in last year’s edition of this report. |
| JEL: | H55 H60 H68 J26 |
| Date: | 2016–12–21 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:52298&r=age |
| By: | Miyaki, Miki; Kimura, Masaki |
| Abstract: | This paper investigates the preferences of the elderly with respect to local public educational expenditures at the kindergarten, primary school, junior high school and high school stages in Japan focusing on the characteristics of expenditures. We applied dynamic estimation method to the data of educational expenditures after the latter half of the 1990s, during which period the aging factor would have been likely to have had a negative relationship with educational expenditure. According to the estimation results, the elderly population would not support an increase in current expenditures composed mainly of personnel expenses at every educational stage but would support capital expenditures of junior high and high schools, which consists of construction costs mostly. |
| Keywords: | population aging; educational expenditures; local governments; current and capital expenditures |
| JEL: | H7 H72 H75 I22 |
| Date: | 2018–09–29 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:89225&r=age |
| By: | Sun, Tianyu; Chand, Satish; Sharpe, Keiran |
| Abstract: | This paper investigates the effect of demographic changes on land prices in urban China using an Overlapping Generation (OLG) model. The model suggests that the rapid rise in land prices could be explained by the rise in per capita income and demographic changes. This finding is validated by fitting the historical data of China. We then simulate land price dynamics for China from 2000 to 2100. The simulation indicates that the rate of rising in land prices is softening. From 2035 to 2055, the effect of demographic changes on urban land prices in China will be close to zero. After 2055, the effect will turn to negative until the end of this century; however, a meltdown is unlikely. |
| Keywords: | Aging Population; OLG Model; Urban Land Prices; Forecast |
| JEL: | E21 E31 J11 R21 R31 |
| Date: | 2018–06–26 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:89237&r=age |
| By: | Iman van Lelyveld; Tanja Artiga Gonzalez; Katarina Lucivjanska |
| Abstract: | We study how pension fund (out)performance is influenced by a) a pension fund's activity, i.e., how much the pension fund deviates in its stock allocation from the typical pension fund behavior, and b) whether the pension fund exploits short- or long-term mispricing opportunities (measured by stock holding duration). We do not find that high activity or higher holding duration, separately, lead to higher risk adjusted returns on average. However, if high activity is paired with long-term holdings, the pension fund's performance increases. Quantitatively, if an active pension fund with a duration of one year increases its duration by one month, annual returns tend to increase by 3.3%. Our findings indicate that some pension funds are patient enough to exploit long-term mispricing opportunities. |
| Keywords: | Pension funds; Active share; fund duration |
| JEL: | G11 G23 H55 |
| Date: | 2018–09 |
| URL: | http://d.repec.org/n?u=RePEc:dnb:dnbwpp:606&r=age |
| By: | Pierre-Jean Messe (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IUML - FR 3473 Institut universitaire Mer et Littoral - UM - Le Mans Université - UA - Université d'Angers - UN - Université de Nantes - ECN - École Centrale de Nantes - UBS - Université de Bretagne Sud - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes, GAINS - Groupe d'Analyse des Itinéraires et des Niveaux Salariaux - UM - Le Mans Université, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique); François-Charles Wolff (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IUML - FR 3473 Institut universitaire Mer et Littoral - UM - Le Mans Université - UA - Université d'Angers - UN - Université de Nantes - ECN - École Centrale de Nantes - UBS - Université de Bretagne Sud - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes, INED - Institut national d'études démographiques) |
| Date: | 2018–09–21 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01878897&r=age |
| By: | Wendy Kiska; Jason Levine; Damien Moore |
| Abstract: | The Pension Benefit Guaranty Corporation (PBGC), a government-owned corporation, insures the pension benefits of more than 10 million participants in multiemployer defined benefit pension plans. Multiemployer plans are typically offered, as part of collective bargaining agreements, by multiple unrelated employers that are jointly responsible for funding the plan. In recent years, many multiemployer plans have experienced underfunding, and some plans now face insolvency. Many beneficiaries of insolvent plans are likely to receive less than their insured benefits, because |
| JEL: | G22 G23 G28 J32 |
| Date: | 2017–06–06 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:wpaper:52749&r=age |
| By: | Michael Klien; Mickael Melki; Andrew Pickering |
| Abstract: | Electoral reforms that lead to reduced turnout modify the composition of the electorate, potentially overrepresenting specific interests in policy implementation. Intergenerational redistribution tilts in favor of the elderly when they are sufficiently numerous, but in favor of the young rich otherwise. We exploit a natural experiment provided by the repeal of compulsory voting in Austrian parliamentary elections to study how exogenous turnout decline affects intergenerational redistribution through pro-young public education spending in Austrian municipalities. Empirically, education spending falls when the proportion of elderly voters exceeds 21% of the electorate, but rises when the proportion of elderly voters is below this threshold. |
| Keywords: | Voter turnout, Education spending, Compulsory voting, Intergenerational conflict. |
| JEL: | I2 J1 D72 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:yor:yorken:18/10&r=age |
| By: | Sarah Duigou (IREGE - Institut de Recherche en Gestion et en Economie - USMB [Université de Savoie] [Université de Chambéry] - Université Savoie Mont Blanc); Pierre-Jean Messe (GAINS - Groupe d'Analyse des Itinéraires et des Niveaux Salariaux - UM - Le Mans Université, TEPP - Travail, Emploi et Politiques Publiques - UPEM - Université Paris-Est Marne-la-Vallée - CNRS - Centre National de la Recherche Scientifique, LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IUML - FR 3473 Institut universitaire Mer et Littoral - UM - Le Mans Université - UA - Université d'Angers - UN - Université de Nantes - ECN - École Centrale de Nantes - UBS - Université de Bretagne Sud - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes) |
| Date: | 2018–09–21 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01878903&r=age |