Extreme Temperatures, Health and Retirement

Andrea Albanese (), Olivier Deschenes (), Christina Gathmann () and Adrian Nieto Castro ()
Additional contact information
Andrea Albanese: LISER
Olivier Deschenes: University of California, Santa Barbara
Christina Gathmann: LISER
Adrian Nieto Castro: Lund University

No 18161, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: This paper provides novel evidence of the impact of temperature fluctuations on retirement behavior and underlying mechanisms, combining 30 years of rich longitudinal survey data with granular daily weather information. Exposure to cold and hot temperatures accelerates transitions into retirement, particularly among individuals unaccustomed to such conditions, and the effects are strongest among vulnerable populations facing greater health challenges and limited access to healthcare. Extreme temperatures deteriorate health through a higher incidence of cardiovascular diseases and strokes, reducing individuals' ability to work, while better access to healthcare mitigates the adverse effects of extreme temperatures on retirement behavior.

Keywords: retirement; health; temperature; healthcare (search for similar items in EconPapers)
JEL-codes: I14 I18 J26 Q54 (search for similar items in EconPapers)
Date: 2025-10
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