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Social Security and Retirement in The Netherlands

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  • Arie Kapteyn
  • Klaas de Vos

Abstract

Compared to other industrialized countries, the labor force participation of the elderly in the Netherlands is very low. Moreover, it has fallen very fast over recent years. We discuss the incentives for employees to retire, arising from public schemes such as social security and disability insurance, and from private arrangements, such as early retirement and occupational pensions. In general, the generous replacement rates offered by these schemes act as powerful stimuli for retirement. Although Dutch research into the retirement effects of the earnings replacing schemes for the elderly was limited until the early nineties, there is now a fast growing literature on this. This literature confirms the findings in the current paper.

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Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 6135.

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Date of creation: Aug 1997
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Publication status: published as Van Praag, Bernard M. S. and Arie Kapteyn as "Further Evidence on the Individual Welfare Function of Income: An Empirical Investigation in the Netherlands," European Economic Review, Vol. 4, no. 1 (April 1973): 33-62
Handle: RePEc:nbr:nberwo:6135

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  1. Peter Diamond & Jonathan Gruber, 1997. "Social Security and Retirement in the U.S," NBER Working Papers 6097, National Bureau of Economic Research, Inc.
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