Stress and Retirement

Raquel Fonseca (), Hugo Morin and Ana Moro-Egido

Cahiers de recherche / Working Papers from Chaire de recherche sur les enjeux économiques intergénérationnels / Research Chair in Intergenerational Economics

Abstract: This paper investigates the bi-directional causal relationship between retirement and stress. We use PSID data for the period 2007-2015. Using a simultaneous equations approach, we find that a rise in stress increases the probability to retire by roughly 15.4 percentage points, while retirement decreases stress by 34.5 percentage points. We find the same results when we disaggregate by individuals’ characteristics, but the former effect is stronger for males, for people working in typical blue-collar jobs, and for people whose wealth is below the mean; while the latter is stronger for males, for white-collar workers, for people whose wealth is above the mean, and for white individuals. We show that official retirement ages are a strong instrument for actual retirement age, and that lagged physical activity levels are a non-linear instrument for perceived stress. We also confirm that objective measures of mental health are a strong instrument for perceived stress.

Keywords: stress; retirement; physical activity; simultaneous equation models. (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-age
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://creei.ca/wp-content/uploads/2021/03/cahier_21_03_stress_retirement.pdf

Related works:
Journal Article: Stress and retirement (2024)
Working Paper: Stress and Retirement (2022)
Working Paper: Stress and Retirement (2021)
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:rsi:creeic:2103

Access Statistics for this paper

More papers in Cahiers de recherche / Working Papers from Chaire de recherche sur les enjeux économiques intergénérationnels / Research Chair in Intergenerational Economics Contact information at EDIRC.
Bibliographic data for series maintained by Lee Boyle ().