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Parametric pension reform and the intensive margin of labor supply, evidence from Colombia

Acceso Cerrado
ID Minciencias: WP-0000301027-21
Ranking: WP-WP

Abstract:

We analyze the effect of a parametric reform of the fully-funded pension regime in Colombia on the intensive margin of the labor supply. We take advantage of a threshold defined by law in order to identify the causal effect using a regression discontinuity design. We find that a pension system that increases retirement age and the minimum weeks during which workers must contribute to claim pension benefits causes an increase of around 2 hours on the number of weekly worked hours; this corresponds to 4% of the average number of weekly worked hours or around 14% of a standard deviation of weekly worked hours. The effect is robust to different specifications, polynomial orders and sample sizes.

Tópico:

Retirement, Disability, and Employment

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Información de la Fuente:

FuenteUniversidad del Rosario eBooks
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Enlaces e Identificadores:

Scienti ID0000301027-21Minciencias IDWP-0000301027-21Openalex URLhttps://openalex.org/W1879778678
Documento de trabajo