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Active aging, preventive health and dependency: Heterogeneous workers, differential behavior

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  • Aisa, Rosa
  • Larramona, Gemma
  • Pueyo, Fernando

Abstract

In a dynamic framework, in which early health spending mitigates productivity losses in later years, we show that the labor supply of older workers and investment in preventive health go hand-in-hand: high-productivity workers are more involved in active aging and in preventive health. As a consequence, for a delay in the legal retirement age to have the desired effect on the labor supply of the elderly, an affordable system of preventive health is required, especially among those workers with low socio-economic status. In this context, the labor supply of the elderly would expand at a faster rate than would life expectancy, thus allowing for a reduction in the dependency rate.

Suggested Citation

  • Aisa, Rosa & Larramona, Gemma & Pueyo, Fernando, 2015. "Active aging, preventive health and dependency: Heterogeneous workers, differential behavior," Journal of Economic Behavior & Organization, Elsevier, vol. 117(C), pages 1-9.
  • Handle: RePEc:eee:jeborg:v:117:y:2015:i:c:p:1-9
    DOI: 10.1016/j.jebo.2015.06.001
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    2. Blid Laura, 2018. "Senior entrepreneurship – key facts at regional level in Romania," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 12(1), pages 139-150, May.
    3. Hirono, Makoto & Mino, Kazuo, 2019. "Pension, Retirement, and Growth in the Presence Heterogeneous Elderly," MPRA Paper 98096, University Library of Munich, Germany.
    4. Shi Chen & Yi Sun & Bo Kyong Seo, 2022. "The Effects of Public Open Space on Older People’s Well-Being: From Neighborhood Social Cohesion to Place Dependence," IJERPH, MDPI, vol. 19(23), pages 1-16, December.
    5. Giuseppe Croce & Andrea Ricci & Giuliana Tesauro, 2019. "Pensions reforms, workforce ageing and firm-provided welfare," Applied Economics, Taylor & Francis Journals, vol. 51(32), pages 3480-3497, July.
    6. Hirono, Makoto & Mino, Kazuo, 2020. "Pension Reforms, Population Aging, and Retirement Decision of the Elderly in a Neoclassical Growth Model," MPRA Paper 102467, University Library of Munich, Germany.
    7. Chiao-Lee Chu & Nozuko Lawana, 2021. "Decomposition of income-related inequality in health check-ups services participation among elderly individuals across the 2008 financial crisis in Taiwan," PLOS ONE, Public Library of Science, vol. 16(6), pages 1-14, June.
    8. Yan Wu & Changsheng Xu & Ming Yi, 2022. "The Optimal Choice of Delayed Retirement Policy in China," Sustainability, MDPI, vol. 14(19), pages 1-21, October.

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    More about this item

    Keywords

    Active aging; Preventive health; Dependency rate;
    All these keywords.

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor

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