Social Security and Labour Supply: the Italian 1992 Reform as a Natural Experiment
AbstractThis paper provides new evidence about the effects of economic incentives embedded in the Italian Social Security system on retirement decisions. The 1992 reform is an interesting example since it was implemented when: (a) the system was very generous to retirees; (b) the demographic context was dramatic;(c) an early retirement provision, and no actuarial fairness, distorted retirement choices. I use the reform as a natural experiment and exploit its differential effect on individuals belonging to different groups, namely blue- and white-collar workers. I find evidence that Social Security wealth has a larger impact on retirement choices compared to estimates in previous studies.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 16569.
Date of creation: Nov 2006
Date of revision: Dec 2008
Social Security Wealth; Retirement; Natural Experiment.;
Find related papers by JEL classification:
- J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
- C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
- J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
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