Early Retirement Among Men in Britain and Germany: How Important is Health?&ast

Jennifer Roberts, Nigel Rice and Andrew Jones

The Geneva Papers on Risk and Insurance - Issues and Practice, 2010, vol. 35, issue 4, 644-667

Abstract: Britain and Germany, like much of the Western world have concerns about the ageing of the population and early exit of older workers from the labour market. Policy debates have focused on direct changes to retirement ages and incentives to encourage greater pension saving. Less attention has been paid to the role of health. We use hazard models applied to longitudinal data from Britain and Germany to estimate the effect of health on early retirement among men. Our results show that health is a key determinant, and its effect is large compared to that of other variables, including the type of pension an individual has access to.

Date: 2010
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