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on Economics of Ageing |
| By: | Cristina Bellés-Obrero (Universitat de Barcelona & IEB); Sergi Jiménez-Martín (Universitat Pompeu Fabra); Han Ye (University of Mannheim) |
| Abstract: | This paper studies the mortality effect of delaying retirement by investigating the impacts of the 1967 Spanish pension reform, which affected the general population and exogenously changed the early retirement age, depending on the date individuals started contributing to the pension system. Using the Spanish administrative data, we find that delaying retirement by one year increases the hazard of dying between the ages of 60 and 69 by 38 percent. We show that the reform leads to higher mortality in all subgroups, and the effects are statistically stronger for those employed in sectors with the highest workplace accidents and for those with low selfvalue jobs. Moreover, we show that allowing flexible retirement mitigates the adverse effects of delaying retirement. |
| Keywords: | Delaying Retirement, Mortality, Heterogeneity, Work Conditions |
| JEL: | I10 I12 J14 J26 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:ieb:wpaper:doc2024-07 |
| By: | XIE Mingjia; YIN Ting; USUI Emiko; ZHANG Yi |
| Abstract: | We examine the heterogeneous effects of retirement on retirees’ health in Japan using the Marginal Treatment Effect framework. Using data from Japanese Study of Aging and Retirement (JSTAR), we find that the effect of retirement on health is trivial and statistically insignificant overall; however, there are heterogeneous effects with respect to the likelihood of being retired. Individuals who are less likely to retire are more prone to be negatively affected by retirement whereas those who are more likely to retire are more inclined to be positively affected. This finding suggests that policies restraining the likelihood of being retired, e.g., increasing the mandatory retirement age, would cause a negative health impact in the population. |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:eti:dpaper:25002 |
| By: | Cristina Bellés-Obrero (Universitat de Barcelona, IEB & IZA); Giulia La Mattina (University of South Florida & IZA); Han Ye (University of Mannheim, ZEW & IZA) |
| Abstract: | The prevalence and determinants of intimate partner violence (IPV) among older women are understudied. This paper documents that the incidence of IPV remains high at old ages and provides the first evidence of the impact of access to income on IPV for older women. We leverage a Mexican reform that lowered the eligibility age for a noncontributory pension and a difference-in-differences approach. Women’s eligibility for the pension increases their probability of being subjected to economic, psychological, and physical IPV. The estimated effects are found only among women in the short term and are more pronounced for women who experienced family violence in childhood and those from poorer households. Looking at potential mechanisms, we find suggestive evidence that men use violence as a tool to control women’s resources. Additionally, women reduce paid employment after becoming eligible for the pension, which may result in more time spent at home and greater exposure to violent partners. In contrast, we show that IPV does not increase when men become eligible for the non-contributory pension. |
| Keywords: | Non-contributory pension, Intimate partner violence, Retirement, Income |
| JEL: | H55 I38 J12 J26 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:ieb:wpaper:doc2024-16 |
| By: | Decancq, Koen; Olivera, Javier; Schokkaert, Erik |
| Abstract: | We examine the impact of the non-contributory social pension program (Pension 65) in Peru, highlighting its varying effects on the three main ethnic groups: Mestizo, Quechua, and Aymara. Notably, Aymara beneficiaries have experienced greater improvements in health outcomes compared to other Peruvians. To account for these ethnic differences when evaluating policy programs, it is essential to use a welfare criterion that reflects preference heterogeneity. We propose a natural criterion: a program benefits a recipient if it lifts them to a higher indifference curve. We contrast this approach with an alternative that uses self-reported subjective well-being to evaluate a policy program. Through a panel life satisfaction regression, we find evidence of preference heterogeneity between the Aymara and other ethnic groups, consistent with the observed differences. Lastly, we explore why, contrary to simple intuition, not all beneficiaries reach a higher indifference curve. |
| Keywords: | ethnicity; pensions; Peru; policy evaluation; preference heterogeneity |
| JEL: | O12 D12 I38 |
| Date: | 2025–01–31 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:126601 |
| By: | Pradhan, Manoj; Goodhart, C. A. E. |
| Abstract: | Ageing societies are likely to face rapidly changing structural macroeconomic trends, with fiscal balances likely to worsen over time. It is widely acknowledged by forecasters and financial markets that debt-to-GDP ratios are tending to rise over t ime, but there are signs that the size and persistence of future deficits and debts may be underestimated. This underestimation comes from three sources: i) incorrect consideration of the medical complications of older cohorts; ii) a demography-driven rise in inflation, real interest rates and interest expenses; and iii) misalignment of f iscal and monetary policy incentives in an inflationary environment. We argue that a new era is starting, when we will have to face complicated relations between demography, and fiscal and monetary policy. |
| JEL: | E20 E30 E40 E50 I11 J11 J14 N10 N30 P10 |
| Date: | 2024–12–31 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:126585 |
| By: | Ángel de la Fuente |
| Abstract: | En esta nota se describe brevemente la última actualización de las series de cuentas consolidadas de la Seguridad Social Ampliada (SSA) para incorporar la liquidación de los Presupuestos de la Seguridad Social de 2023 que se recoge en (IGSS, 2024), así como un primer avance de los resultados de 2024 basado en datos de ejecución presupuestaria hasta noviembre de ese ejercicio. Para una discusión detallada de la construcción de las distintas variables que integran las series, véase de la Fuente (2023), excepto por el avance de 2024, que se discute más abajo. |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:fda:fdafen:2025-06 |
| By: | Costa, Dora L. (UCLA); Bygren, Lars Olov (Karolinska Institutet); Graf, Benedikt (NBER); Karlsson, Martin (University of Duisburg-Essen); Price, Joseph (Brigham Young University) |
| Abstract: | Explanations for the West's escape from premature mortality have focused on chronic malnutrition or income and on public health or state capacity. We argue that by ignoring the multigenerational effects of variance in ancestors' harvests, we are underestimating the contribution of modern economic growth to the escape from early death at older ages. Using a newly constructed multigenerational dataset for Sweden, we show that grandsons' longevity was strongly linked to spatial shocks in paternal grandfathers' yearly harvest variability when agricultural productivity was low and market integration was limited. We reason that an epigenetic mechanism is the most plausible explanation for our findings. We posit that the removal of trade barriers, improvements in transportation, and agricultural innovation reduced harvest variability. We contend that for older Swedish men (but not women) born 1830-1909 this reduction was as important as decreasing contemporaneous infectious disease rates and more important than eliminating exposure to poor harvests in-utero. |
| Keywords: | intergenerational transmission, longevity, ecomomic growth, harvest variability |
| JEL: | I15 J11 N33 |
| Date: | 2025–01 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp17620 |
| By: | Gørtz, Mette; Sander, Sarah; Sevilla, Almudena |
| Abstract: | This paper compares the labor market trajectories of grandparents before and after the arrival of their first grandchild. We find gender gaps in earnings of 4 and 10 percent five and ten years, respectively, after the first grandchild. These effects are driven by changes in women's labor supply at both the intensive and extensive margin. We provide evidence from multiple data sources that grandmothers’ caregiving complements formal daycare, thereby offering essential flexibility for young parents. We document that grandchild penalties were larger in earlier periods characterized by low availability of daycare, shorter parental leave, and an earlier retirement age. Linking register data to geographical variations in daycare centers reveals that local daycare coverage is not associated with grandchild penalties. Detailed time use data show that grandmothers carry larger responsibilities for childcare than grandfathers. Recognizing the complementary nature of grandmaternal childcare is important for the design of policies attempting to reduce child penalties for both mothers and grandmothers. |
| Keywords: | female labor supply; gender; grandchildren; inequality; retirement |
| JEL: | N0 R14 J01 |
| Date: | 2025–02–28 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:126874 |