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Retirement of spouses and social security reform

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Author Info

  • Zweimuller, Josef
  • Winter-Ebmer, Rudolf
  • Falkinger, Josef

Abstract

The retirement decisions of spouses may be interdependent for various reasons: similarity of tastes, joint assets, sharing rules for income and housework, or complementarity of leisure. Because of data limitations, only a few empirical studies exist on this topic. From a policy point of view interdependent retirement could become important if legislators in different EC countries are forced to synchronize minimum retirement ages, which are lower now for females than males in a number of countries. In the theoretical part, the reaction of spouses to changes in the retirement age of their partners is analysed for typical family patterns. In the empirical part, the possibility of interdependent retirement is studied for Austrian data. The findings show an asymmetry: husbands react to changes in wives' legal minimum retirement age, wives don't react vice versa. The cross effect on men's participation rates -- resulting from a rise in women's minimum retirement age --is almost half as big as the first-round effect upon the women themselves.

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Bibliographic Info

Article provided by Elsevier in its journal European Economic Review.

Volume (Year): 40 (1996)
Issue (Month): 2 (February)
Pages: 449-472

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Handle: RePEc:eee:eecrev:v:40:y:1996:i:2:p:449-472

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Web page: http://www.elsevier.com/locate/eer

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  1. Zweimuller, Josef & Winter-Ebmer, Rudolf & Falkinger, Josef, 1996. "Retirement of spouses and social security reform," European Economic Review, Elsevier, vol. 40(2), pages 449-472, February.
  2. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
  3. Apps, P.F. & Rees, R., 1993. "Labour Supply, Household Production and Intra-Family Welfare Distribution," Working Papers 1993-3, University of Guelph, Department of Economics and Finance.
  4. Pozzebon, Silvana & Mitchell, Olivia S, 1989. "Married Women's Retirement Behavior," Journal of Population Economics, Springer, vol. 2(1), pages 39-53.
  5. Josef Zweimüller, 1993. "Partial retirement and the earnings test," Journal of Economics, Springer, vol. 57(3), pages 295-303, October.
  6. repec:fth:guelph:1993-3 is not listed on IDEAS
  7. Chiappori, Pierre-Andre, 1992. "Collective Labor Supply and Welfare," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 437-67, June.
  8. Michael D. Hurd, 1990. "The Joint Retirement Decision of Husbands and Wives," NBER Chapters, in: Issues in the Economics of Aging, pages 231-258 National Bureau of Economic Research, Inc.
  9. Gary S. Becker, 1981. "A Treatise on the Family," NBER Books, National Bureau of Economic Research, Inc, number beck81-1, October.
  10. Rees, Ray, 1988. "Taxation and the Household," Munich Reprints in Economics 3411, University of Munich, Department of Economics.
  11. Apps, Patricia F. & Rees, Ray, 1988. "Taxation and the household," Journal of Public Economics, Elsevier, vol. 35(3), pages 355-369, April.
  12. Alan L. Gustman & Thomas L. Steinmeier, 1994. "Retirement in a Family Context: A Structural Model for Husbands and Wives," NBER Working Papers 4629, National Bureau of Economic Research, Inc.
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