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Pension Reform in Chile: A Difference in Difference Matching Estimation

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  • Jenny Encina

Abstract

The present paper estimates the effect over participation outcomes of the new reform to the pension system made in Chile in 2008, using a difference in difference matching estimation. The main results found that the treated group shows a higher withdrawal from the labor market and that they worked an average of 8 percentage points (pp) fewer months than the control group in 2009. The treated group also contributed 18 pp fewer months than the control group, and they have, on average, 6 pp more months in inactive status. Looking at the difference in per capita income, the treated group has an average of US$34 more per month than the control group in 2009.

Suggested Citation

  • Jenny Encina, 2013. "Pension Reform in Chile: A Difference in Difference Matching Estimation," Estudios de Economia, University of Chile, Department of Economics, vol. 40(1 Year 20), pages 81-95, June.
  • Handle: RePEc:udc:esteco:v:40:y:2013:i:1:p:81-95
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    File URL: http://www.estudiosdeeconomia.cl/publicacion/show/id/1379
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    Citations

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    Cited by:

    1. Calani, Mauricio & Paillacar, Manuel, 2022. "The pass-through of loan-loss-provisioning on mortgage lending: Evidence from a regulatory change," Journal of Banking & Finance, Elsevier, vol. 135(C).
    2. Alessandro Bucciol & Martina Manfre' & Gregorio Gimenez, 2019. "Household Financial Decisions After the 2008 Chilean Pension Reform," Working Papers 10/2019, University of Verona, Department of Economics.
    3. Joubert,Clement Jean Edouard, 2020. "Gender Pension Gaps in a Private Retirement Accounts System : A Dynamic Model of Household Labor Supply and Savings," Policy Research Working Paper Series 9322, The World Bank.

    More about this item

    Keywords

    Pension System; retirement contributions.;

    JEL classification:

    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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