Working Paper: NBER ID: w8780
Authors: Sewin Chan; Ann Huff Stevens
Abstract: We use the Health and Retirement Study to examine the effects of job loss on factors affecting retirement incentives, including earnings, assets and pensions. We then estimate models of the retirement decision, which take into account the incentive to retire and any additional effects of displacement that are not captured by retirement incentives. There are substantial effects of displacement on retirement incentives as the result of changes to both earnings and pensions. Displacement significantly increases the probability of retirement, but only a small fraction of the displacement-induced changes in retirement behavior and labor force participation are the result of workers responding to these altered retirement incentives.
Keywords: No keywords provided
JEL Codes: J6; J2
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| job loss (J63) | retirement incentives (J26) |
| job loss (J63) | earnings (J31) |
| job loss (J63) | pension structures (H55) |
| retirement incentives (J26) | retirement probability (J26) |
| job loss (J63) | retirement probability (J26) |
| earnings (J31) | retirement incentives (J26) |
| pension structures (H55) | retirement incentives (J26) |