Economics at your fingertips  

A Bivariate Duration Model of the Joint Retirement Decisions of Married Couples

Mark An (), Bent Jesper Christensen () and Nabanita Datta Gupta ()

Working Papers from Centre for Labour Market and Social Research, Danmark-

Abstract: We analyze the retirement behaviour of married couples using a new bi-variate proportional hazard model. This model generalizes the traditional univariate duration analysis to include a family-wide joint retirement process that induces both spouses to retire at the same time. The model is flexible and allows three unknown baseline hazard functions to be nonparametrically estimated. Fitting this model to data from the Retirement History Longitudinal Survey (RHS) we quantify the importance of the incidence of joint retirement and test the existence and the symmetry of the effects of one spouse's retirement propensity. Our main empirical findings reveal strong associations between the retirement probabilities of the spouses. The effects of wages are significant and assymetric by gender. The reported assymetry by gender in the effect of spouse's health status on own retirement hazard is likely spurious due to specification error.

Keywords: HOUSEHOLD; DECISION MAKING; STATISTICAL ANALYSIS; RETIREMENT (search for similar items in EconPapers)
JEL-codes: C14 C41 J26 (search for similar items in EconPapers)
Date: 1999
References: Add references at CitEc
Citations: View citations in EconPapers (11) Track citations by RSS feed

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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:

Access Statistics for this paper

More papers in Working Papers from Centre for Labour Market and Social Research, Danmark- Danmark; Centre for Labour Market and Social Research. Science Park Aarhus Wieds Vej 10C, 8000 Aarhus C, Danmark. Contact information at EDIRC.
Bibliographic data for series maintained by Thomas Krichel ().

Page updated 2019-08-20
Handle: RePEc:fth:clmsre:99-10