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on Economics of Ageing |
| By: | Pauline Rossi (CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - X - École polytechnique - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - CNRS - Centre National de la Recherche Scientifique, CEPR - Center for Economic Policy Research - CEPR); Mathilde Godard (CNRS - Centre National de la Recherche Scientifique, GATE Lyon Saint-Étienne - Groupe d'analyse et de théorie économique - ENS Lyon - École normale supérieure - Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon - UJM - Université Jean Monnet - Saint-Étienne - Université de Lyon - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | The old-age security motive for fertility postulates that people's needs for old-age support raise the demand for children. We exploit the extension of social pensions in Namibia during the 1990s to provide a quasi-experimental quantification of this widespread idea. The reform eliminated inequalities in pension coverage and benefits across regions and ethnic groups. Combining differences in pre-reform pensions and differences in exposure across cohorts, we show that pensions substantially reduce fertility, especially in late reproductive life. The results suggest that improving social protection for the elderly could go a long way in fostering fertility decline in sub-Saharan Africa. (JEL H55, I38, J13, J14, O15) |
| Keywords: | Fertility Social security, Old-age pensions, Africa, Difference-in-differences |
| Date: | 2022–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03922295&r=age |
| By: | Ravaska, Terhi |
| Abstract: | I examine the effects of reduced working hours on various health outcomes. I focus on individuals close to retirement and exploit a reform in part-time pension rules. Using detailed register data on health and job spells together with a difference-in-differences approach, I find that an earlier eligibility age for part-time pension program increased purchases of prescription drugs by approximately 1.0 percentage point over the following 6 years. In relative terms, this effect is small, around 2%, but is economically significant as drug purchases are largely subsidized by the state. However, looking at the long-term effects I do not find effects on mortality or severe health diagnoses. I also look at labour market exits and find that the reform did not reduce the risk of early withdrawal from the labour market. |
| Keywords: | part-time pension, health, eligibility age reform, work hours, Social security, taxation and inequality, J26, I10, fi=Sosiaaliturva|sv=Social trygghet|en=Social security|, fi=Terveyspalvelut|sv=Hälsovårdstjänster|en=Healthcare services|, fi=Työmarkkinat|sv=Arbetsmarknad|en=Labour markets|, |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:fer:wpaper:153&r=age |
| By: | Daniel Montolio (Universitat de Barcelona & IEB); Amedeo Piolatto (Universitat Autònoma de Barcelona & IEB); Luca Salvadori (Universitat Autònoma de Barcelona & TARC & IEB) |
| Abstract: | We study, theoretically and empirically, the link between voters’ suport for public education and pensions when agents are free to choose between public and private education. We show that the (inter-generational) redistributive component in the retirement system creates a link between pensions and education. Specifically, the current investment in education increases future productivity and, hence, future tax proceeds. This channel applies for households that chose private education too. Consequently, the support for publicly financed education grows together with the generosity and degree of redistribution of the retirement system. The empirical analysis uses repeated cross-country surveys to confirm the model predictions. |
| Keywords: | Public Education, Educational Choice, Pension System, Bismarckian Factor, Majority Voting |
| JEL: | D7 H31 H42 H44 H52 H55 I22 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ieb:wpaper:doc2022-01&r=age |
| By: | Lavalleja, Martín; Rossi, Ianina |
| Abstract: | En este estudio se analizan diferentes alternativas para la estimación del impacto distributivo de las jubilaciones en Uruguay y se realiza una estimación de su impacto utilizando el enfoque de comparar el valor presente de prestaciones esperadas netas de contribuciones (directas) con el caso hipotético en el cual no existe un programa de jubilaciones y las mismas contribuciones son ahorradas en un fondo individual a partir del cual se contrata una renta vitalicia al momento de retiro. |
| Keywords: | JUBILACION, PENSIONES, SEGURIDAD SOCIAL, INGRESOS, DISTRIBUCION DEL INGRESO, POLITICA SOCIAL, RETIREMENT, PENSIONS, SOCIAL SECURITY, INCOME, INCOME DISTRIBUTION, SOCIAL POLICY |
| Date: | 2022–12–26 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col032:48620&r=age |
| By: | Konradt, Maximilian |
| Abstract: | This paper investigates the financial risk-taking behavior of pension funds since 2000. I assemble a new database containing portfolio holdings of more than 100 pension funds from 14 advanced economies. The study reveals three key findings. First, I show that pension fund portfolios have become riskier over that period, with an average increase in risky asset weights of 4 percentage points since 2008. European pension funds tend to invest more in public equities, while North American and Asian funds focus on alternative assets. Second, I find evidence that declining domestic risk-free rates play a significant role in driving the trend, with pension funds increasing their risky asset exposure in response to falling short-term interest rates. Third, I demonstrate that less underfunded pension funds with fewer risky assets tend to reach for yield more aggressively, which is exacerbated during periods of low risk-free rates. This is most pronounced for European pension funds, particularly after the global financial crisis. |
| Keywords: | Low interest rates, Pension funds, Risk-taking, Reach for yield |
| JEL: | E43 F21 G11 G23 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:116209&r=age |
| By: | Maximilian Konradt (IHEID, Graduate Institute of International and Development Studies, Geneva) |
| Abstract: | This paper investigates the financial risk-taking behavior of pension funds since 2000. I assemble a new database containing portfolio holdings of more than 100 pension funds from 14 advanced economies. The study reveals three key findings. First, I show that pension fund portfolios have become riskier over that period, with an average increase in risky asset weights of 4 percentage points since 2008. European pension funds tend to invest more in public equities while North American and Asian funds focus on alternative assets. Second, I find evidence that declining domestic risk-free rates play a significant role in driving the trend, with pension funds increasing their risky asset exposure in response to falling short-term interest rates. Third, I demonstrate that less underfunded pension funds with fewer risky assets tend to reach for yield more aggressively, which is exacerbated during periods of low risk-free rates. This is most pronounced for European pension funds, particularly after the global financial crisis. |
| Keywords: | Low interest rates; Pension funds; Risk-taking; Reach for yield |
| JEL: | E43 F21 G11 G23 |
| Date: | 2023–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:gii:giihei:heidwp01-2023&r=age |
| By: | Kuznetsova P.О. (The Russian Presidential Academy Of National Economy And Public Administration); Seredkina Е.А (The Russian Presidential Academy Of National Economy And Public Administration); Khasanova R.R (The Russian Presidential Academy Of National Economy And Public Administration) |
| Abstract: | In 2020-2021, the new coronavirus pandemic significantly changed the global demographic situation. Most countries of the world faced a significant increase in mortality. The spread of COVID-19 presented the greatest challenge in recent history for the health systems, as well as the social sphere and the economy of most states and has influenced the increase in the mortality in 2020-2021 in almost every country. The objective of this study is to analyze the dynamics of population mortality in 2020-2021 (January-August) and the impact of coronavirus infection on mortality and life expectancy of the Russian population. Assessing the impact of COVID-19 by directly counting the number of deaths due to coronavirus infection has its limitations: the increase in the total number of deaths significantly exceeds the official mortality from coronavirus infection. In this regard, when determining mortality from coronavirus, indicators of excess mortality and changes in life expectancy are used. Excess mortality is one of the main indicators characterizing the direct and indirect impact of the spread of COVID-19 on the population mortality and the effectiveness of different countries’ efforts to mitigate the consequences of COVID-19 pandemic. The paper analyzes the operational information on the population mortality for 8 months of 2021 and detailed data for 2020 as a whole. The authors note that the decrease in life expectancy in 2020 is associated with an increase in mortality from COVID-19, circulatory diseases, respiratory diseases, digestive diseases, external and other causes in middle and older age groups. |
| Keywords: | mortality, coronavirus infection, life expectancy, epidemic, pandemic, excess mortality, mortality rate |
| URL: | http://d.repec.org/n?u=RePEc:rnp:wpaper:w2022029&r=age |
| By: | Altindag, Onur; Erten, Bilge; Keskin, Pinar |
| Abstract: | In Altindag et al. (2022), we estimate the effects of an age-specific lockdown policy on mobility and mental health outcomes among adults aged 65 and older in Turkey using a regression discontinuity design. Bonander et al. (2023) successfully replicate all our main findings. They argue that the estimates for mobility outcomes are all robust to alternative sensitivity checks while some of the estimates for mental health-which were statistically significant around the 5-9 percent level-lose significance at the conventional level of 10 percent in the more conservative specifications. In this reply, we provide approximately 7, 000 additional estimates that comprise a near universe of RD estimates for all our outcomes, each possible monthly bandwidth, and each possible combination of covariate adjustment, kernel selection, estimation methodology, standard error adjustment, and kernel weighting selection. This comprehensive analysis shows that our original results are robust to these choices. We show that Bonander et al. (2023) rely on a selection of very narrow bandwidths that produce highly sensitive and uninformative estimates due to overfitting. We also show that Bonander et al. (2023) report imprecise estimates, which are outliers in the distribution of all estimates that can be reported. We conclude that broader statistical tests are more informative for robustness checks. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:i4rdps:17&r=age |