Pension Policy Literacy and Retirement Expectations: A Cross-Country Survey Experiment.

OBJECTIVES: This study reports the findings of the first cross-national survey experiment on the effects of information on the expected retirement age. Given the drawbacks of unrealistic retirement expectations, the study examines the impacts of nonpartisan information about future demographic aging and forecasted pension benefit levels. METHODS: An online survey experiment was conducted in the United States, Germany, and Spain in 2018 using an internet access panel. We assigned respondents to 2 random treatments: one citing the change in the projected share of the population older than 65 years (demographic treatment) and another citing the projected change in pension replacement rates (benefits treatment), both for 2015-2040. Treatment effects on the expected retirement age are reported. RESULTS: The benefits treatment has a strong influence on retirement expectations. In the United States, respondents informed of the expected decline in pension replacement rates expect to retire 2 years later than respondents not informed of the decline. In Spain, this treatment leads to an approximately 9-month postponement of expected retirement, while no significant effect is found in Germany. In addition, the demographic treatment does not affect retirement expectations in the countries studied. Respondents in all countries informed of future population aging do not show different expected retirement ages than respondents not given this information. DISCUSSION: People's retirement expectations are sensitive to information on future changes in pension generosity but not to information on population aging. The results suggest information campaigns focused on declining pension replacement rates may help extend working lives.

What We Need to Know About Retirement: Pressing Issues for the Coming Decade.

The current landscape of retirement is changing dramatically as population aging becomes increasingly visible. This review of pressing retirement issues advocates research on (a) changing meanings of retirement, (b) impact of technology, (c) the role of housing in retirement, (d) human resource strategies, (e) adjustment to changing retirement policies, (f) the pension industry, and (g) the role of ethnic diversity in retirement.

Does Living in a Fatherless Household Compromise Educational Success? A Comparative Study of Cognitive and Non-cognitive Skills.

This study addresses the relationship between various family forms and the level of cognitive and non-cognitive skills among 15- to 16-year-old students. We measure cognitive skills using standardized scores in mathematics; non-cognitive abilities are captured by a composite measure of internal locus of control related to mathematics. A particular focus lies on father absence although we also examine the role played by co-residence with siblings and grandparents. We use cross-nationally comparable data on students participating in the Programme for International Student Assessment's release for 2012. By mapping inequalities by family forms across 33 developed countries, this study provides robust cross-country comparable evidence on the relationship of household structure with both cognitive and non-cognitive skills. The study produces three key results: first, the absence of fathers from the household as well as co-residence with grandparents is associated with adverse outcomes for children in virtually all developed countries. Second, this is generally true in terms of both cognitive and non-cognitive skills, although the disadvantage connected to both family forms is notably stronger in the former than in the latter domain. Finally, there is marked cross-national diversity in the effects associated with the presence in the household of siblings and especially grandparents which furthermore differs across the two outcomes considered.

The influence of marital status and spousal employment on retirement behavior in Germany and Spain.

This article analyzes the impact of marital status and spousal employment on the timing of retirement in Germany and Spain. Retirement behavior is examined by means of event-history models, with a competing risks framework being used to distinguish between voluntary and involuntary work-exit transitions. To take account of the role of social policies, we adopt a comparative approach. Data are drawn from a 2006 special retirement module implemented analogously in national labor force surveys. The results show that spousal labor market participation plays a large role in work-exit transitions, even when retirement is involuntary. This finding questions the widespread belief that coretirement is exclusively due to preference for joint retirement shared among spouses. Moreover, widows and widowers tend to retire prematurely in Germany, whereas no such effect could be found in Spain. This finding is explained by reference to specific economic incentives arising from national pension legislation.

Pushed, pulled, or blocked? The elderly and the labor market in post-Soviet Russia.

Russia provides an interesting context for studying the labor market experiences of the elderly because of its experience with market transition, its looming growth in the elderly dependency ratio, and its unusual pension policies that do not penalize pensioners for working. We use data from twenty surveys of the Russian population conducted from February 1991 to November 2007 to analyze the labor market participation and earnings of elderly Russians following market transition. Economic desperation, exacerbated by low pension levels, pushed some elderly to seek employment for income on the labor market. Elderly Russians with more education had more opportunities to work, and education differentials increased as market reforms progressed. The correlates of earnings operate similarly for retirement- and pre-retirement age Russians, with several exceptions: unobserved factors favoring employment are negatively associated with earnings for the elderly, occupation mediates most of the effects of education, and patterns of change over time differ somewhat. Elderly Russians are not disproportionately blocked from employment following market reforms. Following the initial transition shock, their labor market activity increased. Overall, both push and pull factors shape the employment and earnings of the elderly, affecting different segments of them.

Social connectedness and the transition from work to retirement.

OBJECTIVES: Although there are numerous studies on the role of social connections in early working life, research that examines how social connectedness matters in the later stages of a career is scarce. The present study analyzes to what extent social connectedness affects the timing of the transition from work to retirement. METHODS: We draw on data from the German Socioeconomic Panel Study (GSOEP) from the years 1985-2009 (N = 10,225), and we apply techniques of event history analysis. Social connectedness includes social gatherings with friends, relatives, and neighbors (informal participation) as well as engagement in voluntary and civic associations and local politics (formal participation). RESULTS: The findings demonstrate that social connectedness matters for the transition from work to retirement, but its impact depends on the type of participation. Whereas informal participation results in earlier retirement, formal participation delays labor force withdrawal. DISCUSSION: The findings suggest a trade-off between informal participation and work in later life, which leads people with frequent social contacts to opt for early retirement. By contrast, the fact that formal participation is associated with postponed retirement points to employment benefits of volunteering and civic engagement among older workers.