AbstractSome studies suggest that people can maintain their cognitive abilities through "mental exercise." This has not been unequivocally proven. Retirement is associated with a large change in a person's daily routine and environment. In this paper, the authors propose two mechanisms how retirement may lead to cognitive decline. For many people retirement leads to a less stimulating daily environment. In addition, the prospect of retirement reduces the incentive to engage in mentally stimulating activities on the job. They investigate the effect of retirement on cognition empirically using cross-nationally comparable surveys of older persons in the United States, England, and 11 European countries in 2004. They find that early retirement has a significant negative impact on the cognitive ability of people in their early 60s that is both quantitatively important and causal. Identification is achieved using national pension policies as instruments for endogenous retirement.
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 RAND Corporation Publications Department in its series Working Papers with number 711.
Length: 26 pages
Date of creation: Oct 2009
Date of revision:
Contact details of provider:
Postal: 1776 Main Street, P.O. Box 2138, Santa Monica, California 90407-2138
Web page: http://www.rand.org/pubs/
More information through EDIRC
cognition; retirement; human capital; international comparison; HRS; SHARE; ELSA;
Other versions of this item:
- I12 - Health, Education, and Welfare - - Health - - - Health Production
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
This paper has been announced in the following NEP Reports:
- NEP-AGE-2009-11-14 (Economics of Ageing)
- NEP-ALL-2009-11-14 (All new papers)
- NEP-EEC-2009-11-14 (European Economics)
- NEP-NEU-2009-11-14 (Neuroeconomics)
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Maes, Marjan & Stammen, Benjamin, 2011. "The impact of (early) retirement on the subsequent physical and mental health of the retired: a survey among general practitioners in Belgium," Working Papers 2011/03, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
- Norma B. Coe & Gema Zamarro, 2008.
"Retirement Effects on Health in Europe,"
588, RAND Corporation Publications Department.
- Hanming Fang & Lauren Nicholas & Daniel Silverman, 2010. "Cognitive Ability and Retiree Health Care Expenditure," Working Papers wp230, University of Michigan, Michigan Retirement Research Center.
- Hélène Blake & Clémentine Garrouste, 2012. "Collateral effects of a pension reform in France," Working Papers halshs-00703706, HAL.
- Lelkes, Orsolya, 2012. "Happier and less isolated: internet use in old age," MPRA Paper 42546, University Library of Munich, Germany.
- Helene Blake; & Clementine Garrouste, 2012. "Collateral effects of a pension reform in France," Health, Econometrics and Data Group (HEDG) Working Papers 12/16, HEDG, c/o Department of Economics, University of York.
- Bonsang, Eric & Adam, Stéphane & Perelman, Sergio, 2012.
"Does retirement affect cognitive functioning?,"
Journal of Health Economics,
Elsevier, vol. 31(3), pages 490-501.
- Bonsang Eric & Adam Stéphane & Perelman Sergio, 2010. "Does Retirement Affect Cognitive Functioning?," Research Memoranda 005, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization.
- Bonsang Eric & Adam Stéphane & Perelman Sergio, 2010. "Does Retirement Affect Cognitive Functioning?," Research Memoranda 001, Maastricht : ROA, Research Centre for Education and the Labour Market.
- Esteban Calvo & Natalia Sarkisian & Christopher Tamborini, 2011. "Searching for schools in a low quality market: Evidence from Chile," Working Papers 17, Facultad de Economía y Empresa, Universidad Diego Portales.
- Guven, Cahit & Lee, Wang-Sheng, 2011. "Height and Cognitive Function among Older Europeans: Do People from "Tall" Countries Have Superior Cognitive Abilities?," IZA Discussion Papers 6210, Institute for the Study of Labor (IZA).
- Hélène Blake & Clémentine Garrouste, 2012. "Collateral effects of a pension reform in France," PSE Working Papers halshs-00703706, HAL.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Benson Wong).
If references are entirely missing, you can add them using this form.