IDEAS home Printed from https://ideas.repec.org/a/aei/journl/y2012id15919.html
   My bibliography  Save this article

Financing entitlements and promoting work: Does policy encourage early retirement?

Author

Listed:
  • Sita Nataraj Slavov

    (American Enterprise Institute)

  • Aspen Gorry

Abstract

Entitlement spending is projected to put a great deal of strain on the federal budget in coming years. A key factor underlying the growth of entitlement spending is the deteriorating ratio of workers to retirees. This problem is exacerbated by various policies that create disincentives for work at older ages. One way to reduce the fiscal burden of entitlement programs is to encourage longer working lives by minimizing these disincentives. This paper documents the recent trends in employment among older workers, summarizes the evidence on how policies influence retirement decisions, and describes several reforms that have the potential to increase employment among older workers.

Suggested Citation

  • Sita Nataraj Slavov & Aspen Gorry, 2012. "Financing entitlements and promoting work: Does policy encourage early retirement?," AEI Economic Perspectives, American Enterprise Institute, December.
    • Handle: RePEc:aei:journl:y:2012:id:15919
    as

    Download full text from publisher

    File URL: http://www.aei.org/publication/financing-entitlements-and-promoting-work-does-policy-encourage-early-retirement
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Jeffrey R. Brown, 2009. "Financial Education and Annuities," OECD Journal: General Papers, OECD Publishing, vol. 2008(3), pages 173-215.
    2. repec:hal:pseose:hal-00772844 is not listed on IDEAS
    3. Barry Bosworth & Rosanna Smart, 2009. "The Wealth of Older Americans and the Sub-Prime Debacle The Wealth of Older Americans and the Sub-Prime Debacle," Working Papers, Center for Retirement Research at Boston College wp2009-21, Center for Retirement Research, revised Nov 2009.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Alexis Direr & Rim Ennajar-Sayadi, 2019. "How price-elastic is the demand for retirement saving?," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 44(1), pages 102-122, January.
    2. Kyle Chauvin & David Laibson & Johanna Mollerstrom, 2011. "Asset Bubbles and the Cost of Economic Fluctuations," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 43, pages 233-260, August.
    3. Aboohamidi, Abbas & Chidmi, Benaissa, 2015. "Changes in the Wealth of American Households during the 2007-2009 Financial Crisis in the U.S," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205451, Agricultural and Applied Economics Association.
    4. Gopi Shah Goda & John B. Shoven & Sita Nataraj Slavov, 2012. "Does Stock Market Performance Influence Retirement Intentions?," Journal of Human Resources, University of Wisconsin Press, vol. 47(4), pages 1055-1081.
    5. Alicia H. Munnell & Anthony Webb & Francesca Golub-Sass, 2009. "The National Retirement Risk Index: After The Crash," Issues in Brief ib2009-9-22, Center for Retirement Research, revised Sep 2009.
    6. Amitabh Chandra & Courtney Coile & Corina Mommaerts, 2023. "What Can Economics Say about Alzheimer's Disease?," Journal of Economic Literature, American Economic Association, vol. 61(2), pages 428-470, June.
    7. Jeffrey R. Brown & Arie Kapteyn & Erzo F. P. Luttmer & Olivia S. Mitchell & Anya Samek, 2021. "Behavioral Impediments to Valuing Annuities: Complexity and Choice Bracketing," The Review of Economics and Statistics, MIT Press, vol. 103(3), pages 533-546, July.
    8. Shane Frederick & Amanda Levis & Steven Malliaris & Andrew Meyer, 2018. "Valuing bets and hedges: Implications for the construct of risk preference," Judgment and Decision Making, Society for Judgment and Decision Making, vol. 13(6), pages 501-508, November.
    9. Donnelly, Catherine & Guillén, Montserrat & Nielsen, Jens Perch, 2014. "Bringing cost transparency to the life annuity market," Insurance: Mathematics and Economics, Elsevier, vol. 56(C), pages 14-27.
    10. MacDonald, Bonnie-Jeanne & Cairns, Andrew J.G., 2011. "Three retirement decision models for defined contribution pension plan members: A simulation study," Insurance: Mathematics and Economics, Elsevier, vol. 48(1), pages 1-18, January.
    11. Andreas Richter & Jörg Schiller & Harris Schlesinger, 2014. "Behavioral insurance: Theory and experiments," Journal of Risk and Uncertainty, Springer, vol. 48(2), pages 85-96, April.
    12. repec:cup:judgdm:v:13:y:2018:i:6:p:501-508 is not listed on IDEAS
    13. Alberto Montagnoli & Mirko Moro, 2014. "Everybody Hurts: Banking Crises and Individual Wellbeing," Working Papers 2014010, The University of Sheffield, Department of Economics.
    14. Elsa Fornero & Annamaria Lusardi & Chiara Monticone, 2009. "Adequacy of Saving for Old Age in Europe," CeRP Working Papers 87, Center for Research on Pensions and Welfare Policies, Turin (Italy).
    15. Bucher-Koenen, Tabea & Knebel, Caroline & Weber, Martin, 2023. "Do individuals accept fluctuations in pension income?," ZEW Discussion Papers 23-019, ZEW - Leibniz Centre for European Economic Research.
    16. Monika Riedel & Helmut Hofer & Birgit Wögerbauer, 2015. "Determinants for the transition from work into retirement in Europe," IZA Journal of European Labor Studies, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-19, December.
    17. Bégin, Jean-François & Sanders, Barbara, 2024. "Benefit volatility-targeting strategies in lifetime pension pools," Insurance: Mathematics and Economics, Elsevier, vol. 118(C), pages 72-94.
    18. Danny Yagan, 2014. "Riding the Bubble? Chasing Returns into Illiquid Assets," NBER Working Papers 20360, National Bureau of Economic Research, Inc.
    19. Robert F. Schoeni & Frank Stafford & Katherine A. Mcgonagle & Patricia Andreski, 2013. "Response Rates in National Panel Surveys," The ANNALS of the American Academy of Political and Social Science, , vol. 645(1), pages 60-87, January.
    20. Jeffrey R. Brown & Arie Kapteyn & Erzo F.P. Luttmer & Olivia S. Mitchell & Anya Samek, 2017. "Behavioral Impediments to Valuing Annuities: Evidence on the Effects of Complexity and Choice Bracketing," NBER Working Papers 24101, National Bureau of Economic Research, Inc.
    21. Davies, James B. & Yu, Xiaoyu, 2013. "Impacts of Cyclical Downturns on the Third Pillar of the RIS and Policy Responses," CLSSRN working papers clsrn_admin-2013-20, Vancouver School of Economics, revised 29 Apr 2013.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • H - Public Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aei:journl:y:2012:id:15919. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dave Adams, CIO (email available below). General contact details of provider: https://edirc.repec.org/data/aeiiius.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.