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Pension incentives and labor supply Evidence from the introduction of universal old age assistance in the UK 1st edition by Matthias Giesecke, Philipp Jäger

Name: Pension incentives and labor supply Evidence from the introduction of universal old age assistance in the UK 1st edition by Matthias Giesecke, Philipp Jäger
SKU: EB-42314662
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Pension incentives and labor supply: Evidence from the introduction of universal old-age assistance in the UK Matthias Giesecke & Philipp Jäger Digital Instant Download

Author(s): Matthias Giesecke & Philipp Jäger

ISBN(s): 10.1016/j.jpubeco.2021.104516, 10.1016/J.JPUBECO.2021.104516

File Details: PDF, 697 KB

Year: 2021

SKU: EB-42314662 Category: Uncategorized Tag: Matthias Giesecke & Philipp Jäger

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Author: Matthias Giesecke, Philipp Jäger

We study the labor supply implications of the Old-Age Pension Act (OPA) of 1908, which, for the first time, provided pensions to older people in the UK. Using recently released census data covering the entire population, we exploit variation at the newly created age-based eligibility threshold. Our results show a considerable and abrupt decline in labor force participation of 6.0 percentage points (13%) when older workers reach the eligibility age of 70. To mitigate the impact of population aging today, pension reforms aimed at increasing elderly labor supply, however, have to induce much larger behavioral responses than the OPA.

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Tags: Pension incentives, labor supply, Evidence, the introduction, universal old age assistance, Matthias Giesecke, Philipp Jäger