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Labor Force Participation and Retirement of Spanish Older Men: Trends and Prospects

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  • Namkee Ahn
  • Pedro Mira

Abstract

We report a recent reversal in the steep trend towards lower participation rates of Spanish older men. An analysis of participation rates conditional on age and education reveals that the upturn in the aggregate participation rate of men in ages 55-64 is the result of positive behavioral and composition effects. Our projections predict that the joint composition effect of age and education will contribute an increase of up to 4.5 percentage points to the aggregate participation rate of 55-64 year olds by the year 2020. Non - participation is an absorbing state for older men. Thus, lower participation rates of older men reflect a tendency towards earlier retirement. We confirm that transition rates to early retirement have declined during the current expansion

Suggested Citation

  • Namkee Ahn & Pedro Mira, "undated". "Labor Force Participation and Retirement of Spanish Older Men: Trends and Prospects," Working Papers 2000-25, FEDEA.
    • Handle: RePEc:fda:fdaddt:2000-25
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    References listed on IDEAS

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    1. Peracchi, Franco & Welch, Finis, 1994. "Trends in Labor Force Transitions of Older Men and Women," Journal of Labor Economics, University of Chicago Press, vol. 12(2), pages 210-242, April.
    2. Michele Boldrin & Sergi Jimenez-Martin & Franco Peracchi, 1999. "Social Security and Retirement in Spain," NBER Chapters, in: Social Security and Retirement around the World, pages 305-353, National Bureau of Economic Research, Inc.
    3. Teresa Villagarcía, 1995. "Análisis econométrico del tránsito a la jubilación para trabajadores de edad avanzada," Investigaciones Economicas, Fundación SEPI, vol. 19(1), pages 65-81, January.
    4. Alba, Alfonso, 1997. "Labor force participation and transitions of older workers in Spain," UC3M Working papers. Economics 6029, Universidad Carlos III de Madrid. Departamento de Economía.
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    Cited by:

    1. Raquel Vegas Sánchez & Isabel Argimón & Marta Botella & Clara González, 2013. "Old age pensions and retirement in Spain," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 4(3), pages 273-307, August.
    2. Congregado, Emilio & Golpe, Antonio A. & van Stel, André, 2011. "Exploring the big jump in the Spanish unemployment rate: Evidence on an 'added-worker' effect," Economic Modelling, Elsevier, vol. 28(3), pages 1099-1105, May.
    3. Congregado, Emilio & Carmona, Monica & Golpe, Antonio A. & Van Stel, André, 2014. "Unemployment, Gender and Labor Force Participation in Spain: Future Trends in Labor Market," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 53-66, March.

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