Retirement and Wealth
Social Security Bulletin, Vol. 64, No. 2
Posted: 5 Mar 2003
Using data from the Health and Retirement Study, we estimate reduced form retirement and wealth equations. The retirement equation relates the probability of retiring to the "premium value", a forward looking measure of the future value of pensions and social security that better reflects the accrual of benefits under defined contribution plans. Such simple models suggest that if the social security early retirement age were to be raised, more people would retire earlier rather than later. Our work analyzes the reasons for such counter intuitive predictions, and explains why a structural analysis is required to generate more reasonable results.
Note: This is a description of the paper and not the actual abstract.
JEL Classification: J26, H55, D91, E21, D31, J14, J32
Suggested Citation: Suggested Citation