The Causal Effect of Retirement on Health: Understanding the Mechanisms

20 Pages Posted: 24 Mar 2020

See all articles by Dai Binh Tran

Dai Binh Tran

University of the Thai Chamber of Commerce

Vasileios Zikos

Chulalongkorn University

Date Written: December 2019

Abstract

This article examines the direct effects of retirement on health, as well as its indirect effects, through a mediation analysis. Using Australian panel data, analysis reveals that changes in retirement status and retirement duration imply positive causal effects on self‐assessed health as well as physical health and mental health. Gender plays an important role in shaping these relationships. For women, the positive relationship between retirement duration and health can be attributed to physical activity. In contrast, men appear to enjoy better health when staying retired for longer because they participate more in outdoor activities.

Suggested Citation

Binh Tran, Dai and Zikos, Vasileios, The Causal Effect of Retirement on Health: Understanding the Mechanisms (December 2019). Australian Economic Review, Vol. 52, Issue 4, pp. 427-446, 2019, Available at SSRN: https://ssrn.com/abstract=3557394 or http://dx.doi.org/10.1111/1467-8462.12340

Dai Binh Tran (Contact Author)

University of the Thai Chamber of Commerce

126/1 Vibhavadee-Rangsit Road
Dindaeng
Bangkok, 10400
Thailand

Vasileios Zikos

Chulalongkorn University ( email )

Bangkok 10330
Thailand

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
2
Abstract Views
63
PlumX Metrics