Wage Losses of Displaced Older Men: Does Selective Retirement Bias Results?

Tammy Schirle

Canadian Public Policy, 2012, vol. 38, issue 1, 1-13

Abstract: In this paper I provide evidence that suggests selective retirement does not bias estimates of wage losses due to displacement. I estimate the magnitude of hourly wage losses faced by workers who are displaced when over the age of 50. I account for the self-selection of older workers into retirement, which prevents observation of some workers' potential wage losses. The results confirm that high tenured older workers face large wage losses following displacement.

Date: 2012
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