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Understanding the effect of retirement on health: Mechanisms and heterogeneity

Peter Eibich ()

Journal of Health Economics, 2015, vol. 43, issue C, 1-12

Abstract: This paper investigates the mechanisms behind the health effects of retirement. Using a Regression Discontinuity Design to exploit financial incentives in the German pension system for identification, I find that retirement improves subjective health status and mental health, while also reducing outpatient care utilization. I explore a wide range of health behaviors, time use, and effect heterogeneity as potential mechanisms. Relief from work-related stress and strain, increased sleep duration as well as more frequent physical exercise seem to be key mechanisms through which retirement affects health.

Keywords: Retirement; Health; Regression Discontinuity Design; Health behavior; Healthcare (search for similar items in EconPapers)
JEL-codes: I12 J14 J26 (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jhecon:v:43:y:2015:i:c:p:1-12

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Journal of Health Economics is currently edited by J. P. Newhouse, A. J. Culyer, R. Frank, K. Claxton and T. McGuire

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