Change search
ReferencesLink to record
Permanent link

Direct link
Pension benefit reform and the substitution of older for younger workers
Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics.ORCID iD: 0000-0001-9244-7018
SFI - Danish National Centre for Social Research.
2014 (English)Conference paper, Abstract (Refereed)
Abstract [en]

Early pension benefits encourage workers to retire before normal pensionable age. The age structure ofemployment reflects the relative prices of retaining workers of different ages. We use a recent reform to pension benefits in Denmark to analyze the relationship between the wages and employment of workers ofdifferent ages at the firm level. We find that the reform changed retirement ages of unskilled workers – the group with lowest wages and largest replacement rate changes due to the reform. This provides instrumental variables by which to identify parameters of a CES production function. For this group of unskilled workers we are able to estimate the elasticity of substitution between old and young at the firm level to be unity – they are perfect substitutes.

Place, publisher, year, edition, pages
National Category
Research subject
URN: urn:nbn:se:umu:diva-92506OAI: diva2:741075
Econometric Society European Meeting
Available from: 2014-08-27 Created: 2014-08-27 Last updated: 2014-09-29Bibliographically approved

Open Access in DiVA

No full text

Other links

Search in DiVA

By author/editor
Lanot, Gauthier
By organisation

Search outside of DiVA

GoogleGoogle Scholar
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

Total: 255 hits
ReferencesLink to record
Permanent link

Direct link