IDEAS home Printed from https://ideas.repec.org/a/fek/papers/doi10.5085-0898-5510-23.2.177.html
   My bibliography  Save this article

A Test of the Increment-Decrement Method of Calculating Worklife Expectancies of Older Females

Author

Listed:
  • Walter Wessels

Abstract

Using longitudinal data, the actual worklife of older females is compared to predicted worklife derived with the Increment-Decrement (ID) method. The findings show that the ID method underestimates the worklife of actives, but the error is neither sizable nor significant. On the other hand, the ID method significantly and sizably overestimates the worklives of inactives. This paper finds that actives (those in the labor force) tend to remain more active than implied by their most recent labor force experience and that inactives tend to remain more inactive. This rejects the usual Markov model used in ID analysis for older inactive females and likely explains the errors in the ID estimates of worklives. In addition, it was found that older women in the labor force tend to live longer than those out of the labor force, in contrast to the usual assumption that all have an equal chance of survival.

Suggested Citation

  • Walter Wessels, 2012. "A Test of the Increment-Decrement Method of Calculating Worklife Expectancies of Older Females," Journal of Forensic Economics, National Association of Forensic Economics, vol. 23(2), pages 177-193, September.
    • Handle: RePEc:fek:papers:doi:10.5085/0898-5510-23.2.177
    DOI: 10.5085/0898-5510-23.2.177
    as

    Download full text from publisher

    File URL: http://www.journalofforensiceconomics.com/doi/abs/10.5085/0898-5510-23.2.177
    Download Restriction: no
    File URL: http://www.journalofforensiceconomics.com/doi/pdf/10.5085/0898-5510-23.2.177
    Download Restriction: no
    File URL: https://libkey.io/10.5085/0898-5510-23.2.177?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    JEL classification:

    • K13 - Law and Economics - - Basic Areas of Law - - - Tort Law and Product Liability; Forensic Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fek:papers:doi:10.5085/0898-5510-23.2.177. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kurt Krueger (email available below). General contact details of provider: https://edirc.repec.org/data/nafeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.