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Cognitive functioning and labour force participation among older men and women in England

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Abstract

This paper analyses the relationship between cognitive functioning and employment among older men and women using data from the English Longitudinal Study of Ageing. Regression analysis shows that the change in cognitive functioning over time does not have any statistically significant effects on the probability to exit or enter employment, or on working hours. These results are not sensitive to the definition of work. My findings differ from earlier research on younger age groups in Germany and the USA where some effects of cognitive functioning on labour force participation were found.

Suggested Citation

  • David Haardt, 2007. "Cognitive functioning and labour force participation among older men and women in England," Social and Economic Dimensions of an Aging Population Research Papers 222, McMaster University.
  • Handle: RePEc:mcm:sedapp:222
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    File URL: http://socserv.mcmaster.ca/sedap/p/sedap222.pdf
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    References listed on IDEAS

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    1. James Heckman, 2011. "Policies to foster human capital," Educational Studies, Higher School of Economics, issue 3, pages 73-137.
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    4. Disney, Richard & Emmerson, Carl & Wakefield, Matthew, 2006. "Ill health and retirement in Britain: A panel data-based analysis," Journal of Health Economics, Elsevier, vol. 25(4), pages 621-649, July.
    5. DaVanzo, Julie & De Tray, Dennis N & Greenberg, David H, 1976. "The Sensitivity of Male Labor Supply Estimates to Choice of Assumptions," The Review of Economics and Statistics, MIT Press, vol. 58(3), pages 313-325, August.
    6. Haardt, David, 2006. "Transitions out of and back to employment among older men and women in the UK," ISER Working Paper Series 2006-20, Institute for Social and Economic Research.
    7. Ai, Chunrong & Norton, Edward C., 2003. "Interaction terms in logit and probit models," Economics Letters, Elsevier, vol. 80(1), pages 123-129, July.
    8. James Banks & Sarah Smith, 2006. "Retirement in the UK," Oxford Review of Economic Policy, Oxford University Press, vol. 22(1), pages 40-56, Spring.
    9. Jon Harkness, 1993. "Labour Force Participation by Disabled Males in Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 26(4), pages 878-889, November.
    10. James Banks, 2006. "Economic capabilities, choices and outcomes at older ages," Fiscal Studies, Institute for Fiscal Studies, vol. 27(3), pages 281-311, August.
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    12. Steven Stern, 1989. "Measuring the Effect of Disability on Labor Force Participation," Journal of Human Resources, University of Wisconsin Press, vol. 24(3), pages 361-395.
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    Cited by:

    1. Bonsang, Eric & Adam, Stéphane & Perelman, Sergio, 2012. "Does retirement affect cognitive functioning?," Journal of Health Economics, Elsevier, vol. 31(3), pages 490-501.

    More about this item

    Keywords

    Ageing; Cognitive functioning; ELSA; Labour force participation;

    JEL classification:

    • H19 - Public Economics - - Structure and Scope of Government - - - Other
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • 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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