Labor supply and government programs: A cross-country analysis

Andres Erosa, Luisa Fuster and Gueorgui Kambourov

Journal of Monetary Economics, 2012, vol. 59, issue 1, 84-107

Abstract: There are substantial cross-country differences in labor supply late in the life cycle (age 50+). A theory of labor supply and retirement decisions is developed to quantitatively assess the role of social security, disability insurance, and taxation for understanding differences in labor supply late in the life cycle across European countries and the United States. The findings support the view that government policies can go a long way towards accounting for the low labor supply late in the life cycle in the European countries relative to the United States, with social security rules accounting for the bulk of these effects.

Keywords: Social security; Disability insurance; Labor supply; Heterogeneity; Life cycle (search for similar items in EconPapers)
JEL-codes: D9 E2 E6 H2 H55 J2 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (73)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S030439321100105X
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Labor supply and government programs: A cross-country analysis (2011)
Working Paper: Labor Supply and Government Programs: A Cross-Country Analysis (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:moneco:v:59:y:2012:i:1:p:84-107

DOI: 10.1016/j.jmoneco.2011.10.006

Access Statistics for this article

Journal of Monetary Economics is currently edited by R. G. King and C. I. Plosser

More articles in Journal of Monetary Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().