Advanced Search
MyIDEAS: Login

Drop in consumption associated with retirement. The regression discontinuity design approach

Contents:

Author Info

  • Nivorozhkina, Ludmila

    ()
    (Rostov State Economic University, Russia)

  • Nivorozhkin, Anton

    ()
    (Institute for Employment Research, Germany)

  • Abazieva, Kamilla

    ()
    (Moscow State University of Technology and Management (Rostov branch))

Registered author(s):

    Abstract

    In this paper we investigate the size of the consumption drop in Russia We use micro data on the household consumption of food and non-durables collected during the survey of household welfare and participation in social programs (NOBUS) We use the regression discontinuity design and impose an identifying assumption that consumption would be the same around the threshold of pension eligibility if individuals did not retire We estimate that a 20 6 percent drop in consumption is associated with retirement induced by eligibility

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://pe.cemi.rssi.ru/pe_2010_3_112-126.pdf
    File Function: Full text
    Download Restriction: no

    Bibliographic Info

    Article provided by Publishing House "SINERGIA PRESS" in its journal Applied Econometrics.

    Volume (Year): 19 (2010)
    Issue (Month): 3 ()
    Pages: 112-126

    as in new window
    Handle: RePEc:ris:apltrx:0008

    Contact details of provider:
    Web page: http://appliedeconometrics.cemi.rssi.ru/

    Related research

    Keywords: consumption; pension; regression discontinuity;

    Find related papers by JEL classification:

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Martin Browning & Annamaria Lusardi, 1996. "Household Saving: Micro Theories and Micro Facts," Journal of Economic Literature, American Economic Association, vol. 34(4), pages 1797-1855, December.
    2. Emmanuel Skoufias, 2003. "Consumption smoothing in Russia," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(1), pages 67-91, March.
    3. Milton Friedman, 1957. "Introduction to "A Theory of the Consumption Function"," NBER Chapters, in: A Theory of the Consumption Function, pages 1-6 National Bureau of Economic Research, Inc.
    4. Banks, James & Blundell, Richard & Tanner, Sarah, 1998. "Is There a Retirement-Savings Puzzle?," American Economic Review, American Economic Association, vol. 88(4), pages 769-88, September.
    5. B. Douglas Bernheim & Jonathan Skinner & Steven Weinberg, 1997. "What Accounts for the Variation in Retirement Wealth Among U.S. Households?," Working Papers 97035, Stanford University, Department of Economics.
    6. Johnathan Fisher & David S. Johnson & Joseph Marchand & Timothy M. Smeeding & Barbara Boyle Torrey, 2005. "The Retirement Consumption Conundrum: Evidence from a Consumption Survey," Working Papers, Center for Retirement Research at Boston College wp2005-14, Center for Retirement Research, revised Dec 2005.
    7. David S. Lee & David Card, 2006. "Regression Discontinuity Inference with Specification Error," NBER Technical Working Papers 0322, National Bureau of Economic Research, Inc.
    8. Gorodnichenko, Yuriy & Peter, Klara Sabirianova & Stolyarov, Dmitriy, 2009. "Inequality and Volatility Moderation in Russia: Evidence from Micro-Level Panel Data on Consumption and Income," IZA Discussion Papers 4233, Institute for the Study of Labor (IZA).
    9. David S. Lee & Thomas Lemieux, 2009. "Regression Discontinuity Designs in Economics," NBER Working Papers 14723, National Bureau of Economic Research, Inc.
    10. Christopher Gerry & Carmen A Li, 2007. "Consumption Smoothing and Vulnerability in Russia," William Davidson Institute Working Papers Series wp885, William Davidson Institute at the University of Michigan.
    11. Mu, Ren, 2006. "Income Shocks, Consumption, Wealth, and Human Capital: Evidence from Russia," Economic Development and Cultural Change, University of Chicago Press, vol. 54(4), pages 857-92, July.
    12. Lee, David S., 2008. "Randomized experiments from non-random selection in U.S. House elections," Journal of Econometrics, Elsevier, vol. 142(2), pages 675-697, February.
    13. Guido Imbens & Thomas Lemieux, 2007. "Regression Discontinuity Designs: A Guide to Practice," NBER Technical Working Papers 0337, National Bureau of Economic Research, Inc.
    14. Raffaele Miniaci & Chiara Monfardini & Guglielmo Weber, 2010. "How does consumption change upon retirement?," Empirical Economics, Springer, vol. 38(2), pages 257-280, April.
    15. Erik Hurst, 2008. "The Retirement of a Consumption Puzzle," NBER Working Papers 13789, National Bureau of Economic Research, Inc.
    16. Alexandre Kolev & Anne Pascal, 2002. "What keeps pensioners at work in Russia? Evidence from Household Panel Data," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 10(1), pages 29-53, March.
    17. Melanie Lührmann, 2007. "Consumer Expenditures and Home Production at Retirement - New Evidence from Germany," MEA discussion paper series 07120, Munich Center for the Economics of Aging (MEA) at the Max Planck Institute for Social Law and Social Policy.
    18. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-75, March.
    19. Schwerdt, Guido, 2005. "Why does consumption fall at retirement? Evidence from Germany," Economics Letters, Elsevier, vol. 89(3), pages 300-305, December.
    20. Mark Aguiar & Erik Hurst, 2007. "Life-Cycle Prices and Production," American Economic Review, American Economic Association, vol. 97(5), pages 1533-1559, December.
    21. Steven Stillman & Duncan Thomas, 2008. "Nutritional Status During an Economic Crisis: Evidence from Russia," Economic Journal, Royal Economic Society, vol. 118(531), pages 1385-1417, 08.
    22. Michael M. Lokshin & Ruslan Yemtsov, 2004. "Household Strategies of Coping with Shocks in Post-crisis Russia," Review of Development Economics, Wiley Blackwell, vol. 8(1), pages 15-32, 02.
    23. Hahn, Jinyong & Todd, Petra & Van der Klaauw, Wilbert, 2001. "Identification and Estimation of Treatment Effects with a Regression-Discontinuity Design," Econometrica, Econometric Society, vol. 69(1), pages 201-09, January.
    24. Daniel S. Hamermesh, 1982. "Life-Cycle Effects on Consumption and Retirement," NBER Working Papers 0976, National Bureau of Economic Research, Inc.
    25. Sarah Smith, 2006. "The Retirement-Consumption Puzzle and Involuntary Early Retirement: Evidence from the British Household Panel Survey," Economic Journal, Royal Economic Society, vol. 116(510), pages C130-C148, 03.
    26. Agar Brugiavini & Erich Battistin, & Enrico Rettore & Guglielmo Weber, 2007. "The Retirement Consumption Puzzle: Evidence from a Regression Discontinuity Approach," Working Papers 2007_27, Department of Economics, University of Venice "Ca' Foscari".
    27. Anton Nivorozhkin, 2009. "Regression discontinuity design (in Russian)," Quantile, Quantile, issue 7, pages 1-8, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Anton Nivorozhkin & Ludmila Nivorozhkina & Kamila Abazieva, 2013. "Expenditures and Income Adequacy at Retirement," Economics Bulletin, AccessEcon, vol. 33(3), pages 2017-2023.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:ris:apltrx:0008. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anatoly Peresetsky).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.