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Commuting costs and labor force retirement

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  • Jorge González

    (Universidad de Alicante)

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    Abstract

    This paper studies whether the increase in home-workplace separation observed among U.S. older male workers in the last decades of the 20th century can partly account for earlier retirement. We first extend a conventional residential location-labor supply model in order to examine potential mechanisms linking commuting and retirement. After showing that, as a consequence of the urban residential equilibrium, it is possible that workers residing further from the workplace retire earlier, PSID data and an instrumental variables approach are combined in order to assess the nature and strength of the relation.

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    File URL: http://www.ivie.es/downloads/docs/wpasad/wpasad-2008-19.pdf
    File Function: Fisrt version / Primera version, 2008
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    Bibliographic Info

    Paper provided by Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) in its series Working Papers. Serie AD with number 2008-19.

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    Length: 40 pages
    Date of creation: Dec 2008
    Date of revision:
    Publication status: Published by Ivie
    Handle: RePEc:ivi:wpasad:2008-19

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    Keywords: Retirement. Commuting. Instrumental variables.;

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