IDEAS home Printed from https://ideas.repec.org/p/iza/izadps/dp5339.html
   My bibliography  Save this paper

Private Wealth and Planned Early Retirement: A Panel Data Analysis for the Netherlands, 1994-2009

Author

Listed:
  • van Ooijen, Raun

    (De Nederlandsche Bank)

  • Mastrogiacomo, Mauro

    (De Nederlandsche Bank)

  • Euwals, Rob

    (CPB Netherlands Bureau for Economic Policy Analysis)

Abstract

We study the causal relation between private wealth and retirement age. We propose two estimation strategies based on expected retirement age. The outcome variable is observed repeatedly over time. We correct first for the unobserved heterogeneity in the disutility of work by using panel data techniques. Next, we exploit information on expected wealth accumulation in order to identify the unexpected component in wealth accumulation. In line with the literature we find a small but significant effect of private wealth on planned early retirement.

Suggested Citation

  • van Ooijen, Raun & Mastrogiacomo, Mauro & Euwals, Rob, 2010. "Private Wealth and Planned Early Retirement: A Panel Data Analysis for the Netherlands, 1994-2009," IZA Discussion Papers 5339, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp5339
    as

    Download full text from publisher

    File URL: https://docs.iza.org/dp5339.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Andries De Grip & Maarten Lindeboom & Raymond Montizaan, 2012. "Shattered Dreams: The Effects of Changing the Pension System Late in the Game," Economic Journal, Royal Economic Society, vol. 122(559), pages 1-25, March.
    2. Douglas Holtz-Eakin & David Joulfaian & Harvey S. Rosen, 1993. "The Carnegie Conjecture: Some Empirical Evidence," The Quarterly Journal of Economics, Oxford University Press, vol. 108(2), pages 413-435.
    3. Anna van der Schors & Rob J.M. Alessie & Mauro Mastrogiacomo, 2007. "Home and Mortgage Ownership of the Dutch Elderly: Explaining Cohort, Time and Age Effects," Social and Economic Dimensions of an Aging Population Research Papers 183, McMaster University.
    4. Anna van der Schors & Rob Alessie & Mauro Mastrogiacomo, 2007. "Home and mortgage ownership of the Dutch elderly; explaining cohort, time and age effects," CPB Discussion Paper 77.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    5. Hugo Bentez-Silva & Debra S. Dwyer, 2005. "The Rationality of Retirement Expectations and the Role of New Information," The Review of Economics and Statistics, MIT Press, vol. 87(3), pages 587-592, August.
    6. Mark van Duijn & Maarten Lindeboom & Mauro Mastrogiacomo & M. Lundborg, 2009. "Pension plans and the retirement replacement rates in the Netherlands," CPB Discussion Paper 118, CPB Netherlands Bureau for Economic Policy Analysis.
    7. Anna van der Schors & Rob Alessie & Mauro Mastrogiacomo, 2007. "Home and mortgage ownership of the Dutch elderly; explaining cohort, time and age effects," CPB Discussion Paper 77, CPB Netherlands Bureau for Economic Policy Analysis.
    8. Mark van Duijn & Maarten Lindeboom & Mauro Mastrogiacomo & M. Lundborg, 2009. "Pension plans and the retirement replacement rates in the Netherlands," CPB Discussion Paper 118.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    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


    Cited by:

    1. Hans G. Bloemen, 2016. "Private wealth and job exit at older age: a random effects model," Empirical Economics, Springer, vol. 51(2), pages 763-807, September.
    2. Frank Erp & Niels Vermeer & Daniel Vuuren, 2014. "Non-financial Determinants of Retirement: A Literature Review," De Economist, Springer, vol. 162(2), pages 167-191, June.
    3. Daniel Vuuren, 2014. "Flexible Retirement," Journal of Economic Surveys, Wiley Blackwell, vol. 28(3), pages 573-593, July.
    4. Raun Ooijen & Rob Alessie & Adriaan Kalwij, 2015. "Saving Behavior and Portfolio Choice After Retirement," De Economist, Springer, vol. 163(3), pages 353-404, September.
    5. Luc Arrondel & Laurent Soulat, 2022. "Patrimoine et âge envisagé de départ à la retraite," Working Papers halshs-03855533, HAL.
    6. Daniel van Vuuren, 2011. "Flexible Retirement," CPB Discussion Paper 174, CPB Netherlands Bureau for Economic Policy Analysis.
    7. Nagore García, Amparo & van Soest, Arthur, 2022. "Joint retirement behaviour and pension reform in the Netherlands," The Journal of the Economics of Ageing, Elsevier, vol. 23(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mauro Mastrogiacomo & Rob Euwals & Raun van Ooijen, 2010. "Private wealth and planned early retirement: A panel data analysis for the Netherlands 1994-2009," CPB Discussion Paper 160, CPB Netherlands Bureau for Economic Policy Analysis.
    2. Ebner, André, 2013. "A micro view on home equity withdrawal and its determinants: Evidence from Dutch households," Journal of Housing Economics, Elsevier, vol. 22(4), pages 321-337.
    3. Wouter Nientker & Rob Alessie, 2019. "Female Labor Market Participation Across Cohorts: Evidence from the Netherlands," De Economist, Springer, vol. 167(4), pages 407-433, December.
    4. Raun Ooijen & Rob Alessie & Adriaan Kalwij, 2015. "Saving Behavior and Portfolio Choice After Retirement," De Economist, Springer, vol. 163(3), pages 353-404, September.
    5. Jante Parlevliet & Thomas Kooiman, 2015. "Wealth formation of Dutch households: a policy assessment," DNB Occasional Studies 1301, Netherlands Central Bank, Research Department.
    6. Jan Rouwendal & Marcus de Graaf, 2012. "The demand for mortgage debt, increases in house prices and the elderly home equity puzzle," ERSA conference papers ersa12p950, European Regional Science Association.
    7. Lindeboom, Maarten & Montizaan, Raymond, 2018. "Pension Reform: Disentangling Retirement and Savings Responses," Research Memorandum 019, Maastricht University, Graduate School of Business and Economics (GSBE).
    8. Luc Bissonnette & Arthur van Soest, 2012. "The future of retirement and the pension system: How the public’s expectations vary over time and across socio-economic groups," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 1(1), pages 1-21, December.
    9. Montizaan, R.M. & de Grip, A. & Fouarge, D., 2015. "Training access, reciprocity, and expected retirement age," Research Memorandum 005, Maastricht University, Graduate School of Business and Economics (GSBE).
    10. van Rooij, Maarten C.J. & Lusardi, Annamaria & Alessie, Rob J.M., 2011. "Financial literacy and retirement planning in the Netherlands," Journal of Economic Psychology, Elsevier, vol. 32(4), pages 593-608, August.
    11. Lindeboom, Maarten & Montizaan, Raymond, 2020. "Disentangling retirement and savings responses," Journal of Public Economics, Elsevier, vol. 192(C).
    12. Xiaoxing Liu & Ying Zhang & Lin Fang & Yuanxue Li & Wenqing Pan, 2015. "Reforming China’s Pension Scheme for Urban Workers: Liquidity Gap and Policies’ Effects Forecasting," Sustainability, MDPI, vol. 7(8), pages 1-19, August.
    13. Sebastian Dyrda & Marcelo Pedroni, 2015. "Optimal Fiscal Policy in a Model with Uninsurable Idiosyncratic Shocks," Working Papers tecipa-550, University of Toronto, Department of Economics.
    14. Massimo Colombo & Annalisa Croce & Samuele Murtinu, 2014. "Ownership structure, horizontal agency costs and the performance of high-tech entrepreneurial firms," Small Business Economics, Springer, vol. 42(2), pages 265-282, February.
    15. Eve Caroli & Catherine Pollak & Muriel Roger, 2023. "The Health-Consumption Effects of Increasing Retirement Age Late in the Game," Economie et Statistique / Economics and Statistics, Institut National de la Statistique et des Etudes Economiques (INSEE), issue 538, pages 49-67.
    16. Atolia, Manoj & Chatterjee, Santanu & Turnovsky, Stephen J., 2012. "Growth and inequality: Dependence on the time path of productivity increases (and other structural changes)," Journal of Economic Dynamics and Control, Elsevier, vol. 36(3), pages 331-348.
    17. Hugo Benítez-Silva & Debra Dwyer & Wayne-Roy Gayle & Thomas Muench, 2008. "Expectations in micro data: rationality revisited," Empirical Economics, Springer, vol. 34(2), pages 381-416, March.
    18. Johannes Hagen, 2018. "The effects of increasing the normal retirement age on health care utilization and mortality," Journal of Population Economics, Springer;European Society for Population Economics, vol. 31(1), pages 193-234, January.
    19. Daisuke Miyashita, 2023. "Public debt and income inequality in an endogenous growth model with elastic labor supply," International Journal of Economic Policy Studies, Springer, vol. 17(2), pages 447-472, August.
    20. Nabanita Datta Gupta & Mona Larsen, 2010. "The impact of health on individual retirement plans: self‐reported versus diagnostic measures," Health Economics, John Wiley & Sons, Ltd., vol. 19(7), pages 792-813, July.

    More about this item

    Keywords

    private wealth; subjective retirement expectations; early retirement;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp5339. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Holger Hinte (email available below). General contact details of provider: https://edirc.repec.org/data/izaaade.html .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.