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Economic Incentives and Labour Market Transitions of the Aged Finnish Workforce

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  • Tuulia Hakola
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    Abstract

    This PhD thesis is a collection of studies on retirement in Finland. The main purpose is to assess labour market transitions of the aged and focus on the e.ect of the economic incentives. All of the studies are empirical and use large micro panels. The first study describes the main features of the pension system, and tests whether economic incentives have an e.ect on how long individuals stay at work. The second study takes a deeper focus on disability and unemployment, and analyses the e.ect of the disability application rejections. The third study assesses part-time retirements. Financial incentives for full-time work, part-time pension and full-time pension are compared, and estimates are provided for the most likely labour market choice in case the part-time pension is not available. The fourth study considers the e.ect of the incentives to the firm to displace their elderly workers.

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    Bibliographic Info

    Paper provided by Government Institute for Economic Research Finland (VATT) in its series Research Reports with number 89.

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    Date of creation: 20 Jun 2002
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    Handle: RePEc:fer:resrep:89

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    Related research

    Keywords: Early retirement; disability pensions; disability applications; unemployment; part-time pensions;

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    References

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    1. Arnott, Richard J & Hosios, Arthur J & Stiglitz, Joseph E, 1988. "Implicit Contracts, Labor Mobility, and Unemployment," American Economic Review, American Economic Association, vol. 78(5), pages 1046-66, December.
    2. Jonathan Gruber & David Wise, 1997. "Social Security Programs and Retirement Around the World: Introduction and Summary of Papers by..," NBER Working Papers 6134, National Bureau of Economic Research, Inc.
    3. Ossi Korkeamäki & Tomi Kyyrä, 2000. "Integrated Panel of Finnish Companies and Workers," Discussion Papers 226, Government Institute for Economic Research Finland (VATT).
    4. John Rust & Christopher Phelan, 1997. "How Social Security and Medicare Affect Retirement Behavior in a World of Incomplete Markets," Econometrica, Econometric Society, vol. 65(4), pages 781-832, July.
    5. L. Wade, 1988. "Review," Public Choice, Springer, vol. 58(1), pages 99-100, July.
    6. Robin L. Lumsdaine & Olivia S. Mitchell, . "New Developments in the Economic Analysis of Retirement," Pension Research Council Working Papers 98-8, Wharton School Pension Research Council, University of Pennsylvania.
    7. Feldstein, Martin S, 1978. "The Effect of Unemployment Insurance on Temporary Layoff Unemployment," American Economic Review, American Economic Association, vol. 68(5), pages 834-46, December.
    8. Feldstein, Martin S, 1976. "Temporary Layoffs in the Theory of Unemployment," Journal of Political Economy, University of Chicago Press, vol. 84(5), pages 937-57, October.
    9. Robert E. Hall & Edward P. Lazear, 1982. "The Excess Sensitivity of Layoffs and Quits to Demand," NBER Working Papers 0864, National Bureau of Economic Research, Inc.
    10. Topel, Robert H, 1984. "Experience Rating of Unemployment Insurance and the Incidence of Unemployment," Journal of Law and Economics, University of Chicago Press, vol. 27(1), pages 61-90, April.
    11. Tuulia Hakola, 2000. "Navigating through the Finnish Pension System," Discussion Papers 224, Government Institute for Economic Research Finland (VATT).
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    Cited by:
    1. Vare, Minna, 2005. "Timing of the Early Retirement Decisions of Farming Couples," 94th Seminar, April 9-10, 2005, Ashford, UK 24412, European Association of Agricultural Economists.
    2. Deschryvere, Matthias, 2004. "Health and Retirement. An Update of the Literature," Discussion Papers 932, The Research Institute of the Finnish Economy.
    3. Häkkinen, Iida, 2004. "Working while enrolled in a university: Does it pay?," Working Paper Series 2004:1, Uppsala University, Department of Economics.
    4. Hakola, Tuulia, 2002. "Alternative Approaches to Model Withdrawals from the Labour Market – A Literature Review," Working Paper Series 2003:4, Uppsala University, Department of Economics.
    5. Vare, Minna, 2005. "Spousal Effect and Timing of Farmers' Early Retirement Decisions," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24696, European Association of Agricultural Economists.
    6. Deschryvere, Matthias, 2004. "Labour Force Behavior of Elderly Two Adult Households: Evidence from EU-countries," Discussion Papers 933, The Research Institute of the Finnish Economy.
    7. Ashok Thomas & Luca Spataro, 2013. "Pension funds and Market Efficiency: A review," Discussion Papers 2013/164, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.

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