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Senior Poverty in Canada: A Decomposition Analysis

Author

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  • Tammy Schirle

Abstract

Using 1977-79, 1994-96, and 2006-08 data from the Survey of Consumer Finances (SCF) and Survey of Labour and Income Dynamics (SLID), I conduct a decomposition analysis of senior poverty rates to determine whether changes in seniors' characteristics can help explain historical changes in senior poverty rates. I find that increases in the educational attainment of seniors significantly reduced senior poverty, but can only explain a small portion of the reduction in poverty rates between 1977-79 and 1994-96. I find that reductions in the extent to which age and independent living place seniors at risk of poverty significantly and substantially reduced senior poverty rates. Overall, the results support the assertion that retirement income policy is an important determinant of senior poverty in Canada.

Suggested Citation

  • Tammy Schirle, 2013. "Senior Poverty in Canada: A Decomposition Analysis," Canadian Public Policy, University of Toronto Press, vol. 39(4), pages 517-540, December.
    • Handle: RePEc:cpp:issued:v:39:y:2013:i:4:p:517-540
    DOI: 10.3138/CPP.39.4.517
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    Cited by:

    1. Kevin Milligan & Tammy Schirle, 2025. "Retirement Incentives and Decisions Across the Income Distribution: Evidence in Canada," NBER Chapters, in: Social Security Programs and Retirement Around the World: The Effects of Pension Reforms on the Income Distribution of Retirees, National Bureau of Economic Research, Inc.
    2. Nicholas-James Clavet & Mayssun El-Attar & Raquel Fonseca, 2022. "Replacement Rates of Public Pensions in Canada: Heterogeneity across Socio-Economic Status," Canadian Public Policy, University of Toronto Press, vol. 48(S2), pages 22-34, November.
    3. David Boisclair & Xavier Dufour-Simard & Pierre-Carl Michaud, 2025. "Retirement Incomes in Canada:Past, Present and Future," Cahiers de recherche / Working Papers 19, Institut sur la retraite et l'épargne / Retirement and Savings Institute.
    4. Bev Dahlby & Kevin Milligan, 2017. "From theory to practice: Canadian economists contributions to public finance," Canadian Journal of Economics, Canadian Economics Association, vol. 50(5), pages 1324-1347, December.
    5. LoRiggio, Tessa & Morris, Todd, 2024. "The Gender Wealth Gap near Retirement in Canada," IZA Policy Papers 207, Institute of Labor Economics (IZA).

    More about this item

    JEL classification:

    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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