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Retirement patterns during the Swedish pension reform

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  • Glans, Erik

    ()
    (Department of Economics)

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    Abstract

    The Swedish pension reform of 1999-2003 provides an opportunity to study whether and how important economic incentives are for the timing of retirement. The new pension system provides a much closer link between contributions and benefits than the former system. I study whether the reform has led to delayed retirement by examining the retirement patterns of elderly Swedish workers that were differentially affected by the reform. I use duration analysis with annual data from the LINDA database. Discrete time proportional hazard models are estimated. The results show a remarkable decline in the retirement hazard among latter born cohorts, who were more affected by the reform. This implies that retirement is delayed. Most of the decline occurs among public sector employees.

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    Bibliographic Info

    Paper provided by Uppsala University, Department of Economics in its series Working Paper Series with number 2008:9.

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    Length: 44 pages
    Date of creation: 18 Nov 2008
    Date of revision:
    Handle: RePEc:hhs:uunewp:2008_009

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    Postal: Department of Economics, Uppsala University, P. O. Box 513, SE-751 20 Uppsala, Sweden
    Phone: + 46 18 471 25 00
    Fax: + 46 18 471 14 78
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    Web page: http://www.nek.uu.se/
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    Related research

    Keywords: Retirement; Labour supply; Pension Reform;

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