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Part-Time Pensions and Part-Time Work in Sweden

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Author Info

  • Wadensjö, Eskil

    ()
    (Stockholm University)

Abstract

Sweden had a special partial pension scheme between 1976 and 2001. It was one of three part-time pension schemes in the social security system. The other two were a partial early old-age pension, and a partial disability pension. The special partial pension scheme became very popular with a high take-up rate and was criticized for being too expensive. As a part of the decision on the old age pension scheme in 1994, the partial pension scheme was made less generous, and the scheme was totally abolished from year 2001. The other two options for combining work and receiving a pension continue. In this paper the effect on the total number of hours worked of the subsidized part-time pension system is analysed. The analysis indicates that the effect that people continue to work part-time instead of taking an early exit route is larger than the effect that people who would have continued to work full-time until ordinary retirement age instead work part-time.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2273.

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Length: 36 pages
Date of creation: Aug 2006
Date of revision:
Publication status: published in: European Papers on the New Welfare, 2006, 6, 29-45
Handle: RePEc:iza:izadps:dp2273

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Related research

Keywords: labour supply; older workers; part-time pension; part-time work;

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References

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  1. Alan L. Gustman & Thomas L. Steinmeier, 1984. "Partial Retirement and the Analysis of Retirement Behavior," NBER Working Papers 0763, National Bureau of Economic Research, Inc.
  2. Steven G. Allen & Robert L. Clark & Linda S. Ghent, 2003. "Phasing Into Retirement," NBER Working Papers 9779, National Bureau of Economic Research, Inc.
  3. Erling Rasmussen & Jens Lind & Jelle Visser, 2004. "Divergence in Part-Time Work in New Zealand, the Netherlands and Denmark," British Journal of Industrial Relations, London School of Economics, vol. 42(4), pages 637-658, December.
  4. Steven G. Allen, 2004. "The Value of Phased Retirement," NBER Working Papers 10531, National Bureau of Economic Research, Inc.
  5. Even, William E. & Macpherson, David A., 2004. "Do Pensions Impede Phased Retirement?," IZA Discussion Papers 1353, Institute for the Study of Labor (IZA).
  6. Denis LATULIPPE & John TURNER, 2000. "Partial retirement and pension policy in industrialized countries," International Labour Review, International Labour Organization, vol. 139(2), pages 179-195, 06.
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Citations

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Cited by:
  1. Bonsang Eric & Soest Arthur van, 2010. "Satisfaction with job and income among older individuals across European countries," ROA Research Memorandum 011, Maastricht University, Research Centre for Education and the Labour Market (ROA).
  2. Pettersson, Jan, 2011. "Instead of Bowling Alone? Unretirement of Old-Age Pensioners," Working Paper Series 2011:14, Uppsala University, Department of Economics.
  3. Tunga Kantarci & Arthur Soest, 2008. "Gradual Retirement: Preferences and Limitations," De Economist, Springer, vol. 156(2), pages 113-144, June.
  4. Bukowski, Maciej & Lewandowski, Piotr & Koloch, Grzegorz & Baranowska, Anna & Magda, Iga & Szydlowski, Arkadiusz & Bober, Magda & Bieliński, Jacek & Zawistowski, Julian & Sarzalska, Malgorzata, 2008. "Employment in Poland 2007: Security on flexible labour market," MPRA Paper 14284, University Library of Munich, Germany.

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