Retirement and cognitive development: are the retired really inactive?
AbstractThis paper uses longitudinal test data to analyze the relation between retirement andcognitive development. Controlling for individual fixed effects, we find that retirees facegreater declines in information processing speed than those who remain employed.However, remarkably, their cognitive flexibility declines less, an effect that appears to bepersistent 6 years after retirement. Both effects of retirement on cognitive developmentare comparable to those of a five to six-year age difference. They cannot be explained by(1) a relief effect after being employed in low-skilled jobs, (2) mood swings or (3) changesin lifestyle. Controlling for changes in blood pressure, which are negatively related tocognitive flexibility, we still find lower declines in cognitive flexibility for retirees. Sincethe decline in information processing speed after retirement holds particularly for thelow educated, activating these persons after retirement could lower the social costs ofan aging society.
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Bibliographic InfoPaper provided by Maastricht : ROA, Research Centre for Education and the Labour Market in its series Research Memoranda with number 003.
Date of creation: 2012
Date of revision:
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Web page: http://www.maastrichtuniversity.nl/web/UMPublications.htm
education; training and the labour market;
Other versions of this item:
- Andries de Grip & Arnaud Dupuy & Jelle Jolles & Martin van Boxtel, 2012. "Retirement and Cognitive Development: Are the Retired Really Inactive?," Working Papers 2012/14, Maastricht School of Management.
- Grip Andries de & Dupuy Arnaud & Jolles Jelle & Boxtel Martin van, 2012. "Retirement and cognitive development: are the retired really inactive?," Research Memoranda 009, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization.
- DE GRIP Andries & DUPUY Arnaud & JOLLES Jelle & VAN BOXTEL Martin, 2013. "Retirement and Cognitive Development: Are the Retired Really Inactive?," CEPS/INSTEAD Working Paper Series 2013-11, CEPS/INSTEAD.
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
This paper has been announced in the following NEP Reports:
- NEP-AGE-2012-06-13 (Economics of Ageing)
- NEP-ALL-2012-06-13 (All new papers)
- NEP-LAB-2012-06-13 (Labour Economics)
- NEP-NEU-2012-06-13 (Neuroeconomics)
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