Vortrag
Employment Effects and the Pension System: Evidence from a Cohort Based Reform

Barbara Engels, Johannes Geyer, Peter Haan

31st Annual Congress of the European Economic Association : EEA 2016
Genf, Schweiz, 22.08.2016 - 26.08.2016

Beitrag | PDF 0.67 MB

Abstract:
In this paper we exploit a cohort specific pension reform to estimate the causal employment effect of changes in the financial incentives to retire. In particular we analyze the effect of the introduction of pension deductions for early retirement on female employment. For the empirical analysis we use high-quality administrative data from the German Federal Pension Insurance (VSKT) and find positive and significant effects of the reform on employment.

Abstract

In this paper we exploit a cohort specific pension reform to estimate the causal employment effect of changes in the financial incentives to retire. In particular we analyze the effect of the introduction of pension deductions for early retirement on female employment. For the empirical analysis we use high-quality administrative data from the German Federal Pension Insurance (VSKT) and find positive and significant effects of the reform on employment.

Johannes Geyer

Stellvertretender Abteilungsleiter in der Abteilung Staat

Peter Haan

Abteilungsleiter in der Abteilung Staat

Themen: Rente und Vorsorge, Arbeit und Beschäftigung

JEL-Classification: J18;H21
Keywords: Pension reform, cohort based reform, labor supply
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