IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/17052.html
   My bibliography  Save this paper

Disability Pension Program and Labor Force Participation in Japan: A Historical Perspective

Author

Listed:
  • Takashi Oshio
  • Satoshi Shimizutani

Abstract

This paper utilizes historical information to explore the relationship between labor force participation of middle aged and old people and the disability program in Japan. In particular, we explore the time series dimension to identify what has determined the trend in disability program participation over time and relate it with the labor supply. We find that mortality and health measures have been largely unrelated to the disability program participation rates. While major revisions to the disability program have slightly expanded the eligibility for DI programs, the program participation is still very low; thus, the effect on labor force participation is very limited in Japan, which is in contrast with some European countries that have high take up rates, inducing early retirement.

Suggested Citation

  • Takashi Oshio & Satoshi Shimizutani, 2011. "Disability Pension Program and Labor Force Participation in Japan: A Historical Perspective," NBER Working Papers 17052, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:17052
    Note: AG PE
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w17052.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Jonathan Gruber & David A. Wise, 2010. "Social Security Programs and Retirement around the World: The Relationship to Youth Employment," NBER Books, National Bureau of Economic Research, Inc, number grub08-1.
    2. Takashi Oshio & Satoshi Shimizutani & Akiko Sato Oishi, 2010. "Does Social Security Induce Withdrawal of the Old from the Labor Force and Create Jobs for the Young? The Case of Japan," NBER Chapters, in: Social Security Programs and Retirement around the World: The Relationship to Youth Employment, pages 217-241, National Bureau of Economic Research, Inc.
    3. Agar Brugiavini & Tullio Jappelli & Guglielmo Weber, 2002. "The Survey on Health, Aging and Wealth," CSEF Working Papers 86, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    4. ICHIMURA Hidehiko & SHIMIZUTANI Satoshi & HASHIMOTO Hideki, 2009. "JSTAR First Results 2009 Report," Discussion papers 09047, Research Institute of Economy, Trade and Industry (RIETI).
    5. Takashi Oshio & Akiko Sato Oishi & Satoshi Shimizutani, 2011. "Social Security Reforms And Labour Force Participation Of The Elderly In Japan," The Japanese Economic Review, Japanese Economic Association, vol. 62(2), pages 248-271, June.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Shimizutani, Satoshi & 清水谷, 諭 & Fujii, Mayu & 藤井, 麻由 & Oshio, Takashi & 小塩, 隆士, 2012. "Option Value of Work, Health Status, and Retirement Decisions: New Evidence from the Japanese Study on Aging and Retirement (JSTAR)," CIS Discussion paper series 566, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
    2. Oshio, Takashi & Shimizutani, Satoshi & Oishi, Akiko S., 2020. "Examining how elderly employment is associated with institutional disincentives in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 56(C).
    3. Nicolas R. Ziebarth, 2018. "Social Insurance and Health," Contributions to Economic Analysis, in: Health Econometrics, volume 127, pages 57-84, Emerald Group Publishing Limited.
    4. Satoshi Shimizutani & Takashi Oshio & Mayu Fujii, 2014. "Option Value of Work, Health Status, and Retirement Decisions in Japan: Evidence from the Japanese Study on Aging and Retirement (JSTAR)," NBER Chapters, in: Social Security Programs and Retirement Around the World: Disability Insurance Programs and Retirement, pages 497-535, National Bureau of Economic Research, Inc.
    5. Olivia S. Mitchell & John W. R. Phillips, 2012. "Retirement in Japan and the United States: Cross-national Comparisons using the Japanese Study of Aging and Retirement (JSTAR) and the U.S. Health and Retirement Study (HRS)," Working Papers wp270, University of Michigan, Michigan Retirement Research Center.
    6. ICHIMURA Hidehiko & SHIMIZUTANI Satoshi, 2011. "Retirement Process in Japan: New evidence from Japanese Study on Aging and Retirement (JSTAR)," Discussion papers 11080, Research Institute of Economy, Trade and Industry (RIETI).
    7. Usui, Emiko & Shimizutani, Satoshi & Oshio, Takashi, 2014. "Work Capacity of Older Adults in Japan," CIS Discussion paper series 635, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Satoshi Shimizutani & Takashi Oshio, 2016. "Public Pension Benefits Claiming Behaviour: new Evidence from the Japanese Study on Ageing and Retirement," The Japanese Economic Review, Springer, vol. 67(3), pages 235-256, September.
    2. Shimizutani, Satoshi, 2011. "A new anatomy of the retirement process in Japan," Japan and the World Economy, Elsevier, vol. 23(3), pages 141-152.
    3. Satoshi Shimizutani & Takashi Oshio & Mayu Fujii, 2014. "Option Value of Work, Health Status, and Retirement Decisions in Japan: Evidence from the Japanese Study on Aging and Retirement (JSTAR)," NBER Chapters, in: Social Security Programs and Retirement Around the World: Disability Insurance Programs and Retirement, pages 497-535, National Bureau of Economic Research, Inc.
    4. SHIMIZUTANI Satoshi & FUJII Mayu & OSHIO Takashi, 2012. "Option Value of Work, Health Status, and Retirement Decisions: New evidence from the Japanese Study on Aging and Retirement (JSTAR)," Discussion papers 12050, Research Institute of Economy, Trade and Industry (RIETI).
    5. Tsunao Okumura & Emiko Usui, 2014. "The effect of pension reform on pension-benefit expectations and savings decisions in Japan," Applied Economics, Taylor & Francis Journals, vol. 46(14), pages 1677-1691, May.
    6. ICHIMURA Hidehiko & SHIMIZUTANI Satoshi, 2011. "Retirement Process in Japan: New evidence from Japanese Study on Aging and Retirement (JSTAR)," Discussion papers 11080, Research Institute of Economy, Trade and Industry (RIETI).
    7. Shimizutani, Satoshi & Oshio, Takashi, 2013. "Revisiting the labor supply effect of social security earnings test: New evidence from its elimination and reinstatement in Japan," Japan and the World Economy, Elsevier, vol. 28(C), pages 99-111.
    8. Chen, Brian K. & Jalal, Hawre & Hashimoto, Hideki & Suen, Sze-chuan & Eggleston, Karen & Hurley, Michael & Schoemaker, Lena & Bhattacharya, Jay, 2016. "Forecasting trends in disability in a super-aging society: Adapting the Future Elderly Model to Japan," The Journal of the Economics of Ageing, Elsevier, vol. 8(C), pages 42-51.
    9. Emiko Usui & Satoshi Shimizutani & Takashi Oshio, 2016. "Are Japanese Men of Pensionable Age Underemployed or Overemployed?," The Japanese Economic Review, Springer, vol. 67(2), pages 150-168, June.
    10. Mayu Fujii & Takashi Oshio & Satoshi Shimizutani, 2014. "Self-rated Health Status of Japanese and Europeans in Later Life: Evidence from JSTAR and SHARE," The Japanese Economic Review, Japanese Economic Association, vol. 65(4), pages 483-498, December.
    11. Ayako KONDO, 2017. "Does Promoting Elderly Employment Hurt Young Japanese Workers? [‘Koyō no ba ni okeru jakunen-sha to kōrei-sha’ (Young and old in places of employment)]," Social Science Japan Journal, University of Tokyo and Oxford University Press, vol. 20(2), pages 279-285.
    12. Lee, Sang-Hyop & Ogawa, Naohiro & Matsukura, Rikiya, 2016. "Japan’s pension reform, labor market responses, and savings," The Journal of the Economics of Ageing, Elsevier, vol. 8(C), pages 67-75.
    13. Shimizutani, Satoshi & 清水谷, 諭 & シミズタニ, サトシ & Oshio, Takashi & 小塩, 隆士 & オシオ, タカシ, 2009. "New Evidence on Initial Transition from Career Job to Retirement in Japan," PIE/CIS Discussion Paper 430, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
    14. Ayako Kondo, 2016. "Effects of increased elderly employment on other workers’ employment and elderly’s earnings in Japan," IZA Journal of Labor Policy, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-23, December.
    15. Olivia S. Mitchell & John W. R. Phillips, 2012. "Retirement in Japan and the United States: Cross-national Comparisons using the Japanese Study of Aging and Retirement (JSTAR) and the U.S. Health and Retirement Study (HRS)," Working Papers wp270, University of Michigan, Michigan Retirement Research Center.
    16. Christelis, Dimitris & Dobrescu, Loretti I. & Motta, Alberto, 2020. "Early life conditions and financial risk-taking in older age," The Journal of the Economics of Ageing, Elsevier, vol. 17(C).
    17. Anneke Exterkate & Robin L. Lumsdaine, 2011. "How Survey Design Affects Inference Regarding Health Perceptions and Outcomes," NBER Working Papers 17244, National Bureau of Economic Research, Inc.
    18. Alain Jousten & Mathieu Lefebvre, 2013. "Retirement Incentives in Belgium: Estimations and Simulations Using SHARE Data," De Economist, Springer, vol. 161(3), pages 253-276, September.
    19. Takashi Oshio & Emiko Usui, 2017. "Informal parental care and female labour supply in Japan," Applied Economics Letters, Taylor & Francis Journals, vol. 24(9), pages 635-638, May.
    20. Christine Mayrhuber & Hedwig Lutz & Ingrid Mairhuber, 2021. "Erwerbsaustritt, Pensionsantritt und Anhebung des Frauenpensionsantrittsalters ab 2024. Potentielle Auswirkungen auf Frauen, Branchen und Betriebe," WIFO Studies, WIFO, number 67348, August.

    More about this item

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:nbr:nberwo:17052. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.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.