Concepts and Measures of Earnings Replacement During Retirement
AbstractThis paper compares the well-being of the Retirement History Survey of the elderly with their own previous levels of income and economic welfare. Traditional replacement rates are calculated, although a number of shortcomings of such measures are discussed. Modifications are made by examining career average rather than peak earnings, by adjusting for the fact that the incomes of the elderly are taxed more lightly, that the elderly do not have dependent children, and that Social Security income in retirement is a safer source ofincome than earnings earlier in life. The fully adjusted total income measures are at least as high for almost all classes of households in the survey as their career average pre-retirement earnings.
Download InfoIf 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.
Bibliographic InfoPaper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 1360.
Date of creation: Jul 1987
Date of revision:
Publication status: published as Bodie, Z., J.B. Shoven and D.A. Wise (eds.) Issues in Pension Economics. Chicago: University of Chicago Press, 1987.
Contact details of provider:
Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Web page: http://www.nber.org
More information through EDIRC
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.:
- Victor R. Fuchs, 1984. ""Though Much is Taken" -- Reflections on Aging, Health, and Medical Care," NBER Working Papers 1269, National Bureau of Economic Research, Inc.
- Michael D. Hurd & John B. Shoven, 1983.
"The Economic Status of the Elderly,"
in: Financial Aspects of the United States Pension System, pages 359-398
National Bureau of Economic Research, Inc.
- Alan S. Blinder & Roger H. Gordon & Donald E. Wise, 1980. "Reconsidering the Work Disincentive Effects of Social Security," NBER Working Papers 0562, National Bureau of Economic Research, Inc.
- Michael J. Boskin & Michael D. Hurd, 1982. "Are Inflation Rates Different for the Elderly?," NBER Working Papers 0943, National Bureau of Economic Research, Inc.
- Kotlikoff, Laurence J & Spivak, Avia & Summers, Lawrence H, 1982.
"The Adequacy of Savings,"
American Economic Review,
American Economic Association, vol. 72(5), pages 1056-69, December.
- Laurence J. Kotlikoff & Lawrence H. Summers, 1981. "The Adequacy of Savings," NBER Working Papers 0627, National Bureau of Economic Research, Inc.
- Lawrence Kotlikoff & Avia Spivak & Lawrence H. Summers, 1980. "The Adequacy of Savings," Cowles Foundation Discussion Papers 569, Cowles Foundation for Research in Economics, Yale University.
- Casey B. Mulligan & Xavier Sala-i-Martín, 2003.
"Social security, retirement, and the single-mindedness of the electorate,"
Economics Working Papers
686, Department of Economics and Business, Universitat Pompeu Fabra.
- Casey B. Mulligan & Xavier Sala-i-Martin, 2003. "Social Security, Retirement, and the Single-Mindedness of the Electorate," NBER Working Papers 9691, National Bureau of Economic Research, Inc.
- Robert P. Inman, 1985. "The Funding Status of Teacher Pensions: An Econometric Approach," NBER Working Papers 1727, National Bureau of Economic Research, Inc.
- Engen, Eric M. & Gruber, Jonathan, 2001. "Unemployment insurance and precautionary saving," Journal of Monetary Economics, Elsevier, Elsevier, vol. 47(3), pages 545-579, June.
- Flood, Lennart & Klevmarken, Anders & Mitrut, Andreea, 2006.
"The income of the Swedish baby boomers,"
Working Papers in Economics
209, University of Gothenburg, Department of Economics.
- Casey B. Mulligan & Xavier Sala-i-Martin, 1999.
"Gerontocracy, retirement, and social security,"
Economics Working Papers
383, Department of Economics and Business, Universitat Pompeu Fabra.
- Casey B. Mulligan & Xavier Sala-i-Martin, 1999. "Gerontocracy, Retirement, and Social Security," NBER Working Papers 7117, National Bureau of Economic Research, Inc.
- Casey B Mulligan, 1999. "Gerontocracy, Retirement, and Social Security," University of Chicago - George G. Stigler Center for Study of Economy and State, Chicago - Center for Study of Economy and State 154, Chicago - Center for Study of Economy and State.
- Michael J. Boskin, 1998. "Consumer Prices, the Consumer Price Index, and the Cost of Living," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 3-26, Winter.
- Michael J. Boskin & John B. Shoven, 1986. "Poverty Among the Elderly: Where are the Holes in the Safety Net?," NBER Working Papers 1923, National Bureau of Economic Research, Inc.
- Armando Barrientos, 2000. "Work, retirement and vulnerability of older persons in Latin America: what are the lessons for pension design?," Journal of International Development, John Wiley & Sons, Ltd., vol. 12(4), pages 495-506.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.