Labor Supply and Government Programs: A Cross-Country Analysis
Abstract
There are substantial cross-country differences in labor supply late in the life cycle (age 50+). A theory of labor supply and retirement decisions is developed to quantitatively assess the role of social security, disability insurance, and taxation for understanding differences in labor supply late in the life cycle across European countries and the United States. The findings support the view that government policies can go a long way towards accounting for the low labor supply late in the life cycle in the European countries relative to the United States, with social security rules accounting for the bulk of these effects.Download Info
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Paper provided by University of Toronto, Department of Economics in its series Working Papers with number tecipa-442.Length: Unknown pages
Date of creation: 15 Nov 2011
Date of revision:
Handle: RePEc:tor:tecipa:tecipa-442
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Related research
Keywords: Social security; disability insurance; labor supply; heterogeneity; life cycle;Other versions of this item:
- Erosa, Andrés & Fuster, Luisa & Kambourov, Gueorgui, 2012. "Labor supply and government programs: A cross-country analysis," Journal of Monetary Economics, Elsevier, vol. 59(1), pages 84-107.
- Andrés Erosa & Luisa Fuster & Gueorgui Kambourov, 2011. "Labor supply and government programs: A cross-country analysis," Working Papers 2011-08, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales, revised 19 Oct 2011.
- D9 - Microeconomics - - Intertemporal Choice and Growth
- E2 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment
- E6 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook
- H2 - Public Economics - - Taxation, Subsidies, and Revenue
- H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
This paper has been announced in the following NEP Reports:
- NEP-AGE-2011-11-28 (Economics of Ageing)
- NEP-ALL-2011-11-28 (All new papers)
- NEP-DGE-2011-11-28 (Dynamic General Equilibrium)
- NEP-EUR-2011-11-28 (Microeconomic European Issues)
- NEP-LAB-2011-11-28 (Labour Economics)
- NEP-LMA-2011-11-28 (Labor Markets - Supply, Demand, & Wages)
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References listed on IDEASPlease 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.:
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Giulio Zanella & Peter Rupert, 2010.
"Revisiting Wage, Earnings, and Hours Profiles,"
2010 Meeting Papers
1158, Society for Economic Dynamics.
- Rupert, Peter & Zanella, Giulio, 2012. "Revisiting wage, earnings, and hours profiles," University of California at Santa Barbara, Economics Working Paper Series qt61f2f1hv, Department of Economics, UC Santa Barbara.
- Andrés Erosa & Luisa Fuster & Gueorgui Kambourov, 2011.
"Towards a micro-founded theory of aggregate labor supply,"
Working Papers
2011-13, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales, revised 23 Nov 2011.
- Andres Erosa & Luisa Fuster & Gueorgui Kambourov, 2011. "Towards a Micro-Founded Theory of Aggregate Labor Supply," Working Papers tecipa-443, University of Toronto, Department of Economics.
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