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Unhealthy retirement? Evidence of occupation heterogeneity

Author Info

Listed author(s):
  • Fabrizio Mazzonna

    (IDEP and CEPRA, Facoltà di scienze economiche, Università della Svizzera italiana, Svizzera.)

  • Franco Peracchi

    ()

    (Istituto Einaudi per l'Economia e la Finanza (EIEF) and Dipartimento di Economia e Finanza Facolta' di Economia Università degli Studi di Roma 'Tor Vergata', Roma, Italia.)

Abstract

We investigate the causal effect of retirement on health and cognitive abilities by exploiting the variation between and within European countries in old age retirement rules. We show negative and significant effect of retirement on both health and cognitive abilities. We also show evidence of significant heterogeneity across occupational groups. In particular, the negative effect of retirement disappears and turn to be even positive for those working in very physically demanding jobs.

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File URL: http://doc.rero.ch/record/209168/files/WP1401.pdf
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Paper provided by USI Università della Svizzera italiana in its series IdEP Economic Papers with number 1401.

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Length: 33 pages
Date of creation: 08 Feb 2014
Handle: RePEc:lug:wpidep:1401
Contact details of provider: Web page: https://www.bul.sbu.usi.ch

Keywords: Aging; cognitive abilities; retirement; occupation; SHARE;

Find related papers by JEL classification:

  • C26 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Instrumental Variables (IV) Estimation
  • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
  • 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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  1. Johnston, David W. & Lee, Wang-Sheng, 2009. "Retiring to the good life? The short-term effects of retirement on health," Economics Letters, Elsevier, vol. 103(1), pages 8-11, April.
  2. Coe, Norma B. & Zamarro, Gema, 2011. "Retirement effects on health in Europe," Journal of Health Economics, Elsevier, vol. 30(1), pages 77-86, January.
  3. 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 223-255, March-Apr.
  4. Bonsang, Eric & Adam, Stéphane & Perelman, Sergio, 2012. "Does retirement affect cognitive functioning?," Journal of Health Economics, Elsevier, vol. 31(3), pages 490-501.
  5. Mazzonna, Fabrizio & Peracchi, Franco, 2012. "Ageing, cognitive abilities and retirement," European Economic Review, Elsevier, vol. 56(4), pages 691-710.
  6. James Banks & Fabrizio Mazzonna, 2012. "The Effect of Education on Old Age Cognitive Abilities: Evidence from a Regression Discontinuity Design," Economic Journal, Royal Economic Society, vol. 122(560), pages 418-448, 05.
  7. B. d'Hombres & L. Rocco & M. Suhrcke & M. McKee, 2010. "Does social capital determine health? Evidence from eight transition countries," Health Economics, John Wiley & Sons, Ltd., vol. 19(1), pages 56-74.
  8. Susann Rohwedder & Robert J. Willis, 2010. "Mental Retirement," Journal of Economic Perspectives, American Economic Association, vol. 24(1), pages 119-138, Winter.
  9. Jonathan Gruber & David A. Wise, 2004. "Social Security Programs and Retirement around the World: Micro-Estimation," NBER Books, National Bureau of Economic Research, Inc, number grub04-1.
  10. Bingley, Paul & Martinello, Alessandro, 2013. "Mental retirement and schooling," European Economic Review, Elsevier, vol. 63(C), pages 292-298.
  11. Kevin Neuman, 2008. "Quit Your Job and Get Healthier? The Effect of Retirement on Health," Journal of Labor Research, Springer, vol. 29(2), pages 177-201, June.
  12. Mazzonna, Fabrizio, 2014. "The long lasting effects of education on old age health: Evidence of gender differences," Social Science & Medicine, Elsevier, vol. 101(C), pages 129-138.
  13. Viola Angelini & Agar Brugiavini & Guglielmo Weber, 2009. "Ageing and unused capacity in Europe: is there an early retirement trap?," Economic Policy, CEPR;CES;MSH, vol. 24, pages 463-508, 07.
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Cited by:

  1. Vermeer, Niels & Mastrogiacomo, Mauro & Van Soest, Arthur, 2016. "Demanding occupations and the retirement age," Labour Economics, Elsevier, vol. 43(C), pages 159-170.
  2. Peter Eibich, 2014. "Die gesundheitlichen Folgen des Renteneintritts," DIW Roundup: Politik im Fokus 48, DIW Berlin, German Institute for Economic Research.
  3. Giuntella, Osea & Mazzonna, Fabrizio, 2015. "Do immigrants improve the health of natives?," Journal of Health Economics, Elsevier, vol. 43(C), pages 140-153.
  4. Martina Celidoni & Vincenzo Rebba, 2015. "Healthier lifestyles after retirement in Europe? Evidence from SHARE," "Marco Fanno" Working Papers 0201, Dipartimento di Scienze Economiche "Marco Fanno".

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