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Use It or Lose It: How Cognitive Skills Change with Age

Author

Listed:
  • Eric A. Hanushek
  • Lavinia Kinne
  • Frauke Witthöft
  • Ludger Woessmann
  • Frauke Baumeister

Abstract

It is commonly assumed that cognitive skills start to decline by age 30 if not earlier, which could pose major challenges for rapidly aging populationsBut this assumption largely relies on cross-sectional data that cannot distinguish between aging patterns and cohort differences in skillsUsing unique German longitudinal skill data, our analysis breaks the confounding of age and cohort patternsWe find that skills on average actually increase strongly into the forties before decreasing slightly in literacy and more strongly in numeracyFurthermore, skills decline at older ages only for those with below-average skill usage

Suggested Citation

  • Eric A. Hanushek & Lavinia Kinne & Frauke Witthöft & Ludger Woessmann & Frauke Baumeister, 2025. "Use It or Lose It: How Cognitive Skills Change with Age," EconPol Forum, CESifo, vol. 26(03), pages 52-57, July.
    • Handle: RePEc:ces:epofor:v:26:y:2025:i:03:p:52-57
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    References listed on IDEAS

    as
    1. Eric A. Hanushek & Ludger Woessmann, 2008. "The Role of Cognitive Skills in Economic Development," Journal of Economic Literature, American Economic Association, vol. 46(3), pages 607-668, September.
    2. Hanushek, Eric A. & Woessmann, Ludger, 2015. "The Knowledge Capital of Nations: Education and the Economics of Growth," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262029170, December.
    3. Gust, Sarah & Hanushek, Eric A. & Woessmann, Ludger, 2024. "Global universal basic skills: Current deficits and implications for world development," Journal of Development Economics, Elsevier, vol. 166(C).
    4. Hanushek, Eric A. & Schwerdt, Guido & Wiederhold, Simon & Woessmann, Ludger, 2015. "Returns to skills around the world: Evidence from PIAAC," European Economic Review, Elsevier, vol. 73(C), pages 103-130.
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    Cited by:

    1. Wolfgang Lutz, 2025. "The growing gap in cognitive skills within and between countries," Vienna Yearbook of Population Research, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna, vol. 23(1), pages 17-26.
    2. Ismaila Y. Jammeh & Federico Giri & Alberto Russo, 2026. "Breaking the Dynastic Cycle: Inequality, Taxation, and Redistribution," Working Papers 505, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    3. Chao Li & Zhanjun Xing & Xiang Li & Liping Chen, 2026. "How Does Automation in the Workplace Impact Workers’ Happiness? Disentangling the Competing Mechanisms Through Income Shock and Reduced Working Time," Journal of Happiness Studies, Springer, vol. 27(2), pages 1-41, February.
    4. Jessen, Jonas & Kinne, Lavinia & Battisti, Michele, 2026. "Child penalties in labour market skills," European Economic Review, Elsevier, vol. 184(C).
    5. Julia Peter & Jana Schuetz, 2026. "Stereotypes, Financial Literacy, and Confidence: An Information Provision Experiment," CESifo Working Paper Series 12384, CESifo.

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