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Do Stronger Age Discrimination Laws Make Social Security Reforms More Effective?

  • David Neumark

    (University of California, Irvine National Bureau of Economic Research)

  • Joanne Song

    (University of California, Irvine)

Supply-side Social Security reforms to increase employment and delay benefit claiming among older individuals may be frustrated by age discrimination. We test for policy complementarities between supply-side Social Security reforms and demand-side efforts to deter age discrimination, specifically studying whether stronger state-level age discrimination protections enhanced the impact of the increases in the Social Security Full Retirement Age (FRA) that occurred in the past decade. The evidence indicates that, for older individuals who were “caught” by the increase in the FRA, benefit claiming reductions and employment increases were sharper in states with stronger age discrimination protections.

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File URL: http://www.mrrc.isr.umich.edu/publications/Papers/pdf/wp249.pdf
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Paper provided by University of Michigan, Michigan Retirement Research Center in its series Working Papers with number wp249.

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Length: 52 pages
Date of creation: Sep 2011
Date of revision:
Handle: RePEc:mrr:papers:wp249
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  1. David Neumark & Wendy A. Stock, 1999. "Age Discrimination Laws and Labor Market Efficiency," Journal of Political Economy, University of Chicago Press, vol. 107(5), pages 1081-1110, October.
  2. Jonathan F. Pingle, 2006. "Social Security's delayed retirement credit and the labor supply of older men," Finance and Economics Discussion Series 2006-37, Board of Governors of the Federal Reserve System (U.S.).
  3. Luc Behaghel & David M. Blau, 2010. "Framing Social Security Reform: Behavioral Responses to Changes in the Full Retirement Age," Working Papers wp243, University of Michigan, Michigan Retirement Research Center.
  4. David Neumark & Elizabeth T. Powers, 2006. "SSI, Labor Supply, and Migration," Working Papers 050628, University of California-Irvine, Department of Economics.
  5. Barry T. Hirsch & David A. Macpherson & Melissa A. Hardy, 2000. "Occupational age structure and access for older workers," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 53(3), pages 401-418, April.
  6. P. A. Riach & J. Rich, 2002. "Field Experiments of Discrimination in the Market Place," Economic Journal, Royal Economic Society, vol. 112(483), pages 480-518, November.
  7. Leora Friedberg, 2000. "The Labor Supply Effects of the Social Security Earnings Test," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 48-63, February.
  8. Jeffrey Pontiff & Andrei Shleifer & Michael S. Weisbach, 1990. "Reversions of Excess Pension Assets after Takeovers," RAND Journal of Economics, The RAND Corporation, vol. 21(4), pages 600-613, Winter.
  9. Scott J. Adams, 2002. "Passed Over for Promotion Because of Age: An Empirical Analysis of the Consequences," Journal of Labor Research, Transaction Publishers, vol. 23(3), pages 447-461, July.
  10. Mastrobuoni, Giovanni, 2009. "Labor supply effects of the recent social security benefit cuts: Empirical estimates using cohort discontinuities," Journal of Public Economics, Elsevier, vol. 93(11-12), pages 1224-1233, December.
  11. Jonah B. Gelbach & Doug Miller, 2009. "Robust Inference with Multi-way Clustering," Working Papers 99, University of California, Davis, Department of Economics.
  12. A. Colin Cameron & Jonah B. Gelbach & Douglas L. Miller, 2011. "Robust Inference With Multiway Clustering," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 29(2), pages 238-249, April.
  13. Joanna Lahey, 2006. "State Age Protection Laws and the Age Discrimination in Employment Act," Working Papers, Center for Retirement Research at Boston College wp2006-24, Center for Retirement Research, revised Nov 2006.
  14. Richard W. Johnson & David Neumark, 1996. "Age Discrimination, Job Separation, and Employment Status of Older Workers: Evidence from Self-Reports," NBER Working Papers 5619, National Bureau of Economic Research, Inc.
  15. Posner, Richard A., 1995. "Aging and Old Age," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226675664.
  16. Laitner, John & Silverman, Dan, 2012. "Consumption, retirement and social security: Evaluating the efficiency of reform that encourages longer careers," Journal of Public Economics, Elsevier, vol. 96(7-8), pages 615-634.
  17. Adams, Scott J., 2004. "Age discrimination legislation and the employment of older workers," Labour Economics, Elsevier, vol. 11(2), pages 219-241, April.
  18. Joanna Lahey, 2005. "Age, Women, and Hiring: An Experimental Study," NBER Working Papers 11435, National Bureau of Economic Research, Inc.
  19. Robert Hutchens, 1988. "Do job opportunities decline with age?," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 42(1), pages 89-99, October.
  20. Michael Fix & Raymond Struyk, 1993. "Clear and convincing evidence: Measurement of discrimination in america," Natural Field Experiments 00241, The Field Experiments Website.
  21. Kahn, James A., 1988. "Social security, liquidity, and early retirement," Journal of Public Economics, Elsevier, vol. 35(1), pages 97-117, February.
  22. David Neumark, 2008. "The Age Discrimination in Employment Act and the Challenge of Population Aging," NBER Working Papers 14317, National Bureau of Economic Research, Inc.
  23. Christopher Cornwell & Stuart Dorsey & Nasser Mehrzad, 1991. "Opportunistic Behavior by Firms in Implicit Pension Contracts," Journal of Human Resources, University of Wisconsin Press, vol. 26(4), pages 704-725.
  24. Bloch, Farrell, 1994. "Antidiscrimination Law and Minority Employment," University of Chicago Press Economics Books, University of Chicago Press, edition 0, number 9780226059839.
  25. repec:crr:issbrf:ib2004-18 is not listed on IDEAS
  26. James E. Duggan & Christopher J. Soares, 2002. "Actuarial Nonequivalence in Early and Delayed Social Security Benefit Claims," Public Finance Review, , vol. 30(3), pages 188-207, May.
  27. David Neumark & Elizabeth Powers, 2006. "Supplemental security income, labor supply, and migration," Journal of Population Economics, Springer, vol. 19(3), pages 447-479, July.
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