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Retirement and Cognitive Ability in Korea

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  • Hyejin Kim

    (Seoul National University)

Abstract

This study examines the effect of retirement on the cognitive ability of aging Koreans. Using six (2006–2016) waves of the Korean Longitudinal Study of Aging (KLoSA), we find the significant negative effect of retirement on cognitive ability. After retirement, individuals experience a decline in their cognitive ability scores by approximately 1% when compared with the average score. We also investigate the heterogeneity across age, gender, education, and job characteristics. The negative influence of retirement is pronounced and significant for those who are aged 68–80, are females, have lowers levels of education, are non-wage-and-salary workers, and are blue-collar workers.

Suggested Citation

  • Hyejin Kim, 2019. "Retirement and Cognitive Ability in Korea," Korean Economic Review, Korean Economic Association, vol. 35, pages 393-415.
    • Handle: RePEc:kea:keappr:ker-20190701-35-2-05
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    References listed on IDEAS

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    More about this item

    Keywords

    Cognitive Ability; Retirement;

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

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