Commuting costs and labor force retirement

Jorge González
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Jorge González: Universidad de Alicante

Working Papers. Serie AD from Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie)

Abstract: This paper studies whether the increase in home-workplace separation observed among U.S. older male workers in the last decades of the 20th century can partly account for earlier retirement. We first extend a conventional residential location-labor supply model in order to examine potential mechanisms linking commuting and retirement. After showing that, as a consequence of the urban residential equilibrium, it is possible that workers residing further from the workplace retire earlier, PSID data and an instrumental variables approach are combined in order to assess the nature and strength of the relation.

Keywords: Retirement.; Commuting.; Instrumental; variables. (search for similar items in EconPapers)
JEL-codes: J26 R22 (search for similar items in EconPapers)
Pages: 40 pages
Date: 2008-12
New Economics Papers: this item is included in nep-age, nep-lab and nep-ure
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Persistent link: https://EconPapers.repec.org/RePEc:ivi:wpasad:2008-19

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