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Financial Incentives and the Timing of Retirement: Evidence from Switzerland

Author

Listed:
  • Barbara Hanel
  • Regina Riphahn

Abstract

We use reforms in the Swiss public retirement system to identify the responsiveness of retirement timing to financial incentives. A permanent reduction of retirement benefits by 3.4 percent induces more than 70 percent of females to postpone their retirement. The responsiveness of male workers, who undergo a different treatment, is lower.

Suggested Citation

  • Barbara Hanel & Regina Riphahn, 2006. "Financial Incentives and the Timing of Retirement: Evidence from Switzerland," Working Papers 009, Bavarian Graduate Program in Economics (BGPE).
  • Handle: RePEc:bav:wpaper:009_hanel_riphahn
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    File URL: http://www.bgpe.de/texte/DP/009_hanel_riphahn.pdf
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    References listed on IDEAS

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    Cited by:

    1. Lees, Kirdan, 2013. "Golden years? The impacts of New Zealand’s ageing on wages, interest rates, wealth and macroeconomy," NZIER Working Paper 2013/1, New Zealand Institute of Economic Research.
    2. Frank van Erp & Niels Vermeer & Daniël van Vuuren, 2013. "Non-financial determinants of retirement," CPB Discussion Paper 243, CPB Netherlands Bureau for Economic Policy Analysis.
    3. Kallweit Manuel, 2009. "Rentenreform und Rentenzugangsentscheidung – Eine numerische Gleichgewichtsanalyse / Pension Reform and Endogenous Retirement – a Computable General Equilibrium Analysis," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 229(4), pages 426-449, August.

    More about this item

    Keywords

    retirement insurance; incentives; social security; labor force exit; natural experiment; Switzerland;

    JEL classification:

    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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