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The Effects of a Change in the Social Security Earnings Test on the Japanese Elderly Male Labor Supply

Author

Listed:
  • Koyo Miyoshi

    (Aichi-Gakuin University)

  • Taichi Tamura

    (Policy Research Institute, Ministry of Finance)

Abstract

This paper examines the effects of the elimination of a 20% cut in the pension for regular workers aged 60?64 years in 2005 on the supply of elderly Japanese labor. For data, we use the 2004 and 2007 Comprehensive Survey of Living Conditions. The estimation results indicate that the change increased the supply of male regular workers and decreased that of nonregular workers aged 60?64 years but did not increase the overall labor supply.

Suggested Citation

  • Koyo Miyoshi & Taichi Tamura, 2017. "The Effects of a Change in the Social Security Earnings Test on the Japanese Elderly Male Labor Supply," Discussion papers ron296, Policy Research Institute, Ministry of Finance Japan.
    • Handle: RePEc:mof:wpaper:ron296
    as

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    File URL: https://www.mof.go.jp/pri/research/discussion_paper/ron296.pdf
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    References listed on IDEAS

    as
    1. Erik HernæS & Zhiyang Jia, 2013. "Earnings Distribution and Labour Supply after a Retirement Earnings Test Reform," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 75(3), pages 410-434, June.
    2. Richard Disney & Sarah Smith, 2002. "The Labour Supply Effect of the Abolition of the Earnings Rule for Older Workers in the United Kingdom," Economic Journal, Royal Economic Society, vol. 112(478), pages 136-152, March.
    3. Ayako Kondo & Hitoshi Shigeoka, 2017. "The Effectiveness of Demand-Side Government Intervention to Promote Elderly Employment: Evidence from Japan," ILR Review, Cornell University, ILR School, vol. 70(4), pages 1008-1036, August.
    4. Baker, Michael & Benjamin, Dwayne, 1999. "How do retirement tests affect the labour supply of older men?," Journal of Public Economics, Elsevier, vol. 71(1), pages 27-51, January.
    5. Song, Jae G. & Manchester, Joyce, 2007. "New evidence on earnings and benefit claims following changes in the retirement earnings test in 2000," Journal of Public Economics, Elsevier, vol. 91(3-4), pages 669-700, April.
    6. Ai, Chunrong & Norton, Edward C., 2003. "Interaction terms in logit and probit models," Economics Letters, Elsevier, vol. 80(1), pages 123-129, July.
    7. Steven J. Haider & David S. Loughran, 2008. "The Effect of the Social Security Earnings Test on Male Labor Supply: New Evidence from Survey and Administrative Data," Journal of Human Resources, University of Wisconsin Press, vol. 43(1).
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Social security earnings test; Pension; Elderly labor supply;
    All these keywords.

    JEL classification:

    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions

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