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Preference for early retirement, health and job satisfaction: a European comparison

  • D. BLANCHET

    (Insee)

  • T. DEBRAND

    (Irdes)

This work uses the first wave of SHARE to analyze the impact of health and satisfaction at work on preferences concerning age at retirement in 10 European countries. Preferences concerning age at retirement are measured by the rate of people wishing to retire as soon as possible. We examine how health and work conditions contribute to explain differences in these preferences both at the individual level and between countries. At the individual level, the effects that are obtained are consistent with expectations, but they are of little help for explaining international differences. Fixing health and work conditions, we observe a north-south gradient of preferences for early retirement which remains close to the gross cross country differentials. All these results are robust to control by institutional features of pension systems (overall generosity of pension systems) and to control for the selection bias implied by the fact that preferences are only measured on people that are still in employment.

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File URL: http://www.insee.fr/fr/publications-et-services/docs_doc_travail/G2007-03.pdf
File Function: Document de travail de la DESE numéro G2007-03
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Paper provided by Institut National de la Statistique et des Etudes Economiques, DESE in its series Documents de Travail de la DESE - Working Papers of the DESE with number g2007-03.

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Date of creation: 2007
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Handle: RePEc:crs:wpdeee:g2007-03
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  1. Kerkhofs, Marcel & Lindeboom, Maarten & Theeuwes, Jules, 1999. "Retirement, financial incentives and health," Labour Economics, Elsevier, vol. 6(2), pages 203-227, June.
  2. R. Mahieu & B. Sédillot, 2000. "Microsimulations of the retirement decision: a supply side approach," Documents de Travail de la DESE - Working Papers of the DESE g2000-07, Institut National de la Statistique et des Etudes Economiques, DESE.
  3. Kathryn H. Anderson & Richard V. Burkhauser, 1985. "The Retirement-Health Nexus: A New Measure of an Old Puzzle," Journal of Human Resources, University of Wisconsin Press, vol. 20(3), pages 315-330.
  4. Kreider, Brent, 1999. "Latent Work Disability and Reporting Bias," Staff General Research Papers 5185, Iowa State University, Department of Economics.
  5. John Bound & Michael Schoenbaum & Todd R. Stinebrickner & Timothy Waidmann, 1998. "The Dynamic Effects of Health on the Labor Force Transitions of Older Workers," NBER Working Papers 6777, National Bureau of Economic Research, Inc.
  6. Romain Duval, 2003. "The Retirement Effects of Old-Age Pension and Early Retirement Schemes in OECD Countries," OECD Economics Department Working Papers 370, OECD Publishing.
  7. John Rust & Christopher Phelan, 1997. "How Social Security and Medicare Affect Retirement Behavior in a World of Incomplete Markets," Econometrica, Econometric Society, vol. 65(4), pages 781-832, July.
  8. Debra Sabatini Dwyer & Olivia S. Mitchell, 1998. "Health Problems as Determinants of Retirement: Are Self-Rated Measures Endogenous?," NBER Working Papers 6503, National Bureau of Economic Research, Inc.
  9. Janet Currie & Brigitte C. Madrian, 1998. "Health, Health Insurance and the Labor Market," JCPR Working Papers 27, Northwestern University/University of Chicago Joint Center for Poverty Research.
  10. Edward C. Prescott, 2003. "Why do Americans work so much more than Europeans?," Staff Report 321, Federal Reserve Bank of Minneapolis.
  11. Jonathan Gruber & David A. Wise, 1999. "Social Security and Retirement around the World," NBER Books, National Bureau of Economic Research, Inc, number grub99-1.
  12. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-55, March-Apr.
  13. Campolieti, Michele, 2002. "Disability and the labor force participation of older men in Canada," Labour Economics, Elsevier, vol. 9(3), pages 405-432, July.
  14. Ronan Mahieu & Didier Blanchet, 2004. "Estimating Models of Retirement Behavior on French Data," NBER Chapters, in: Social Security Programs and Retirement around the World: Micro-Estimation, pages 235-284 National Bureau of Economic Research, Inc.
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