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Do single women value early retirement more than single men?

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  • Moller Dano, Anne
  • Ejrnaes, Mette
  • Husted, Leif

Abstract

The focus of this paper is to analyse why a large fraction of single elderly people choose to retire early. A structural model directly based on the individual decision of labour supply is estimated on a sample of singles, where singles are defined as those who are living alone. We find that income and health are important determinants of the retirement decision. Furthermore, we find substantial gender differences in the retirement pattern. Healthy single women value retirement more than healthy single men and are willing to reduce their disposable income to 74 per cent of their previous income while men are willing to reduce the income to 81 per cent. Men’s retirement decision is mainly influenced by income and health, whereas women’s retirement decision is also affected by education and unemployment experience.

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Bibliographic Info

Article provided by Elsevier in its journal Labour Economics.

Volume (Year): 12 (2005)
Issue (Month): 1 (February)
Pages: 47-71

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Handle: RePEc:eee:labeco:v:12:y:2005:i:1:p:47-71

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  1. Blau, David M, 1994. "Labor Force Dynamics of Older Men," Econometrica, Econometric Society, vol. 62(1), pages 117-56, January.
  2. Pozzebon, Silvana & Mitchell, Olivia S, 1989. "Married Women's Retirement Behavior," Journal of Population Economics, Springer, vol. 2(1), pages 39-53.
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  5. Richard Blundell & Costas Meghir & Sarah Smith, 2002. "Pension Incentives and the Pattern of Early Retirement," Economic Journal, Royal Economic Society, vol. 112(478), pages C153-C170, March.
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  12. Mauro Mastrogiacomo & Rob Alessie & Maarten Lindeboom, 2002. "Retirement Behaviour of Dutch Elderly Households: Diversity in Retirement Patterns across Different Household Types," Tinbergen Institute Discussion Papers 02-073/3, Tinbergen Institute.
  13. Bingley, Paul & Gubta, Nabanita Datta & Pedersen, Peder J., 2001. "The Effects of Pension Programme Incentives on Retirement Behavior in Denmark," CLS Working Papers 01-8, University of Aarhus, Aarhus School of Business, Centre for Labour Market and Social Research.
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  15. Dahl, Svenn-Åge & Nilsen, Øivind Anti & Vaage, Kjell, 2002. "Gender Differences in Early Retirement Behaviour," Working Papers in Economics 02/02, University of Bergen, Department of Economics.
  16. Berkovec, James & Stern, Steven, 1991. "Job Exit Behavior of Older Men," Econometrica, Econometric Society, vol. 59(1), pages 189-210, January.
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Cited by:
  1. Heidler, Matthias & Raffelhüschen, Bernd & Leifels, Arne, 2006. "Heterogenous life expectancy, adverse selection, and retirement behaviour," FZG Discussion Papers 13, Research Center for Generational Contracts (FZG), University of Freiburg.
  2. Michele Belloni & Rob Alessie, 2010. "Retirement Choices in Italy: What an Option Value Model tells us," Tinbergen Institute Discussion Papers 10-102/3, Tinbergen Institute.
  3. Kristensen, Nicolai, 2012. "Training and Retirement," IZA Discussion Papers 6301, Institute for the Study of Labor (IZA).
  4. repec:dgr:uvatin:2010102 is not listed on IDEAS

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