IDEAS home Printed from https://ideas.repec.org/a/taf/applec/v52y2020i54p5921-5935.html
   My bibliography  Save this article

The dynamic effects of retirement on well-being

Author

Listed:
  • Dusanee Kesavayuth
  • Robert E. Rosenman
  • Vasileios Zikos

Abstract

In this paper we examine whether and to what extent people anticipate their retirement and adapt to it over time. For identification we use an instrumental variable approach that exploits the eligibility ages for state pension as a source of exogenous variation in retirement status. We show that retirement increases satisfaction with the amount of leisure time up to two years prior to retiring. Upon retirement, individuals reported higher satisfaction with their income and leisure. For leisure the well-being boost did not dissipate over time, but for income satisfaction adaptation was complete. These findings provide new empirical evidence on the causal link between retirement and well-being and suggest that such link may be better understood as a three-stage process occurring before, during and after retirement.

Suggested Citation

  • Dusanee Kesavayuth & Robert E. Rosenman & Vasileios Zikos, 2020. "The dynamic effects of retirement on well-being," Applied Economics, Taylor & Francis Journals, vol. 52(54), pages 5921-5935, November.
    • Handle: RePEc:taf:applec:v:52:y:2020:i:54:p:5921-5935
    DOI: 10.1080/00036846.2020.1781770
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00036846.2020.1781770
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00036846.2020.1781770?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Leimer, Birgit & van Ewijk, Reyn, 2022. "No “honeymoon phase”: whose health benefits from retirement and when," Economics & Human Biology, Elsevier, vol. 47(C).
    2. Austen, Siobhan & Kalsi, Jaslin Kaur & Mavisakalyan, Astghik, 2022. "Retirement and the distribution of intra-household wellbeing," The Journal of the Economics of Ageing, Elsevier, vol. 23(C).

    More about this item

    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:taf:applec:v:52:y:2020:i:54:p:5921-5935. 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAEC20 .

    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.