Advanced Search
MyIDEAS: Login

Does Retirement Kill You? Evidence from Early Retirement Windows

Contents:

Author Info

  • Coe, Norma B.

    (Center for Retirement Research)

  • Lindeboom, Maarten

    ()
    (VU University Amsterdam)

Abstract

The magnitude of the effect that health has on the retirement decision has long been studied. We examine the reverse relationship, whether or not retirement has a direct impact on later-life health. In order to identify the causal relationship, we use unexpected early retirement window offers to instrument for retirement behavior. They are legally required to be unrelated to the baseline health of the individual, and are significant predictors of retirement. We find that there is no negative effect of early retirement on men's health, and if anything, a temporary increase in self-reported health and improvements in health of highly educated workers. While this is consistent with previous literature using Social Security ages as instruments, we also find some evidence that anticipation of retirement might also be important, and might bias the previous estimates towards zero.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://ftp.iza.org/dp3817.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 3817.

as in new window
Length: 31 pages
Date of creation: Nov 2008
Date of revision:
Handle: RePEc:iza:izadps:dp3817

Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org

Order Information:
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Email:

Related research

Keywords: health; retirement; instrument; causal effect;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Coe, Norma B. & Zamarro, Gema, 2011. "Retirement effects on health in Europe," Journal of Health Economics, Elsevier, vol. 30(1), pages 77-86, January.
  2. Maarten Lindeboom & France Portrait & Gerard J. van den Berg, 2002. "An econometric analysis of the mental-health effects of major events in the life of older individuals," Health Economics, John Wiley & Sons, Ltd., vol. 11(6), pages 505-520.
  3. Blundell, Richard & Bond, Stephen, 1998. "Initial conditions and moment restrictions in dynamic panel data models," Journal of Econometrics, Elsevier, vol. 87(1), pages 115-143, August.
  4. James P. Smith, 2003. "Consequences and Predictors of New Health Events," NBER Working Papers 10063, National Bureau of Economic Research, Inc.
  5. Douglas Staiger & James H. Stock, 1994. "Instrumental Variables Regression with Weak Instruments," NBER Technical Working Papers 0151, National Bureau of Economic Research, Inc.
  6. Adams, Peter & Hurd, Michael D. & McFadden, Daniel & Merrill, Angela & Ribeiro, Tiago, 2003. "Healthy, wealthy, and wise? Tests for direct causal paths between health and socioeconomic status," Journal of Econometrics, Elsevier, vol. 112(1), pages 3-56, January.
  7. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-55, March-Apr.
  8. James P. Smith, 2005. "The Impact Of Ses On Health Over The Life-Course," Labor and Demography 0511002, EconWPA.
  9. Dhaval Dave & R. Inas Rashad & Jasmina Spasojevic, 2008. "The Effects of Retirement on Physical and Mental Health Outcomes," Southern Economic Journal, Southern Economic Association, vol. 75(2), pages 497-523, October.
  10. Charles Brown, 2002. "Early Retirement Windows," Working Papers wp028, University of Michigan, Michigan Retirement Research Center.
  11. John Bound & Timothy Waidmann, 2007. "Estimating the Health Effects of Retirements," Working Papers wp168, University of Michigan, Michigan Retirement Research Center.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Hélène Blake & Clémentine Garrouste, 2012. "Collateral effects of a pension reform in France," PSE Working Papers halshs-00703706, HAL.
  2. Fe, Eduardo & Hollingsworth, Bruce, 2012. "Estimating the eect of retirement on mental health via panel discontinuity designs," MPRA Paper 38162, University Library of Munich, Germany.
  3. repec:dau:papers:123456789/11012 is not listed on IDEAS
  4. Kuhn, Michael & Wrzaczek, Stefan & Prskawetz, Alexia & Feichtinger, Gustav, 2012. "Optimal choice of health and retirement in a life-cycle model," ECON WPS - Vienna University of Technology Working Papers in Economic Theory and Policy 01/2012, Vienna University of Technology, Institute for Mathematical Methods in Economics, Research Group Economics (ECON).
  5. Hélène Blake & Clémentine Garrouste, 2012. "Collateral effects of a pension reform in France," Working Papers halshs-00703706, HAL.
  6. Bassanini, Andrea & Caroli, Eve, 2014. "Is Work Bad for Health? The Role of Constraint vs Choice," IZA Discussion Papers 7891, Institute for the Study of Labor (IZA).
  7. Godard, Mathilde, 2013. "Gaining weight through retirement ? Results from the SHARE survey," Economics Papers from University Paris Dauphine 123456789/11535, Paris Dauphine University.
  8. Garrouste, Clémentine & Blake, Hélène, 2013. "Killing me softly: work and mortality among French seniors," Economics Papers from University Paris Dauphine 123456789/12125, Paris Dauphine University.
  9. Behncke, Stefanie, 2009. "How Does Retirement Affect Health?," IZA Discussion Papers 4253, Institute for the Study of Labor (IZA).
  10. Blake, Hélène & Garrouste, Clémentine, 2012. "Collateral effects of a pension reform in France," Economics Papers from University Paris Dauphine 123456789/12129, Paris Dauphine University.
  11. repec:dgr:umamet:2009043 is not listed on IDEAS
  12. Andrew E. Clark, 2010. "Work and Well-Being," CESifo DICE Report, Ifo Institute for Economic Research at the University of Munich, vol. 8(4), pages 17-21, 01.
  13. Blake, Hélène & Garrouste, Clémentine, 2013. "Killing me softly: work and mortality among French seniors," Economics Papers from University Paris Dauphine 123456789/12127, Paris Dauphine University.
  14. Sahlgren, Gabriel H., 2012. "Work ‘til You Drop: Short- and Longer-Term Health Effects of Retirement in Europe," Working Paper Series 928, Research Institute of Industrial Economics.
  15. Helene Blake; & Clementine Garrouste, 2012. "Collateral effects of a pension reform in France," Health, Econometrics and Data Group (HEDG) Working Papers 12/16, HEDG, c/o Department of Economics, University of York.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp3817. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.