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Social Security and Retirement in Canada

In: Social Security and Retirement around the World

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  • Jonathan Gruber

Abstract

Government transfers to older persons in Canada are one of the largest and fastest growing" components of the government budget. I provide an overview of the interaction between these" transfer programs and retirement behavior. I begin by documenting historical trends in labor force" participation and program receipt, and contemporaneous patterns of work and income receipt for the" current cohort of older persons. I then present an overview of the structure of this system of" Canadian transfer programs. Finally, I present results of a simulation model which measures the" implicit tax/subsidy rate on work after age 55 through this system. I find that workers, there are modest taxes on work through age 64, that rise to fairly high levels thereafter. But" these taxes are substantially lower for single workers, since they do not have wives eligible for" means-tested transfers, and for workers with substantial other sources of income is not at all eligible for means-tested transfers.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Jonathan Gruber, 1999. "Social Security and Retirement in Canada," NBER Chapters, in: Social Security and Retirement around the World, pages 73-99, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberch:7249
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    References listed on IDEAS

    as
    1. Baker, Michael & Benjamin, Dwayne, 1999. "How do retirement tests affect the labour supply of older men?," Journal of Public Economics, Elsevier, vol. 71(1), pages 27-51, January.
    2. Jonathan Gruber, 2000. "Disability Insurance Benefits and Labor Supply," Journal of Political Economy, University of Chicago Press, vol. 108(6), pages 1162-1183, December.
    3. Peter Diamond & Jonathan Gruber, 1997. "Social Security and Retirement in the U.S," NBER Working Papers 6097, National Bureau of Economic Research, Inc.
    4. Baker, Michael & Benjamin, Dwayne, 1999. "Early Retirement Provisions and the Labor Force Behavior of Older Men: Evidence from Canada," Journal of Labor Economics, University of Chicago Press, vol. 17(4), pages 724-756, October.
    5. Gruber, Jonathan & Hanratty, Maria, 1995. "The Labor-Market Effects of Introducing National Health Insurance: Evidence from Canada," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(2), pages 163-173, April.
    6. Gary Burtless & Robert A. Moffitt, 1986. "Social Security, Earnings Tests, and Age at Retirement," Public Finance Review, , vol. 14(1), pages 3-27, January.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

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