scholarly journals Housing wealth shocks, home equity withdrawal, and the claiming of Social Security retirement benefits

2021 ◽  
Author(s):  
Naqun Huang ◽  
Jing Li ◽  
Amanda Ross
Keyword(s):  
Social Security ◽  
Housing Wealth ◽  
Home Equity ◽  
Retirement Benefits

scholarly journals Housing Wealth or Collateral: How Home Value Shocks Drive Home Equity Extraction and Spending

2020 ◽  
Author(s):  
Henrik Yde Andersen ◽  
Søren Leth-Petersen
Keyword(s):  
Interest Rates ◽  
Mortgage Market ◽  
Housing Wealth ◽  
Home Equity ◽  
Fixed Rate ◽  
Mortgage Loans ◽  
Mortgage Debt ◽  
Individual Level ◽  
Home Value ◽  
Home Values

Abstract We examine whether unanticipated changes in home values drive spending and mortgage-based equity extraction. To do this, we use longitudinal survey data with subjective information about current and expected future home values to calculate unanticipated home value changes. We link this information at the individual level to high quality administrative records containing information about mortgage borrowing as well as savings in various financial instruments. We find that the marginal propensity to increase mortgage debt is 3%–5% of unanticipated home value gains. We find no adjustment to other components of the portfolio, and we find that mortgage extraction leads to an increase in spending. The effect is driven by young households with high loan-to-value ratios, which is consistent with the effect being driven by collateral constraints. Further, we find that the effect is driven by home owners who actively take out a new mortgage. The price effect is magnified among fixed rate mortgage (FRM) borrowers who have an incentive to refinance their loans to lock in a lower market rate. These results point to the importance of the mortgage market in transforming price increases into spending and suggest that monetary policy can play an important role in transforming housing wealth gains into spending by affecting interest rates on mortgage loans.

Family Caregiving and the Intergenerational Transmission of Poverty

2018 ◽  
Vol 46 (3) ◽  
pp. 629-635 ◽  
Author(s):  
Richard L. Kaplan
Keyword(s):  
Social Security ◽  
Family Caregivers ◽  
Intergenerational Transmission ◽  
Family Caregiving ◽  
The United States ◽  
Retirement Savings ◽  
Term Care ◽  
Retirement Benefits ◽  
Lifetime Earnings ◽  
The Impact

The United States relies on uncompensated family caregivers to provide most of the long-term care required by older adults as they age. But such care comes at a significant financial cost to these caregivers in the form of lower lifetime earnings and diminished (or even no) Social Security retirement benefits, ineligibility for Medicare coverage of their healthcare costs, and minimal retirement savings. To reduce the impact of uncompensated caregiving on the intergenerational transmission of poverty, this paper discusses three possible mechanisms of compensating family caregivers: public payments, deemed wage credits under Social Security, and income tax incentives.

Estimating the Value of Social Security Retirement Benefits

2001 ◽  
Vol 4 (3) ◽  
pp. 14-29 ◽  
Author(s):  
William W. Jennings ◽  
William R Reichenstein
Keyword(s):  
Social Security ◽  
Retirement Benefits

scholarly journals THE DETERMINANTS OF REVERSE MORTGAGE CHOICE OF INDIAN ELDERLY HOMEOWNERS FOR SUSTAINABLE LIVELIHOOD: A LOGIT ANALYSIS

2019 ◽  
Vol 7 (4) ◽  
pp. 309-317
Author(s):  
Sarita Gupta ◽  
Dr. Sanjay Kumar
Keyword(s):  
Logistic Regression ◽  
Binary Logistic Regression ◽  
Later Life ◽  
Primary Data ◽  
Logit Analysis ◽  
Sustainable Livelihood ◽  
Housing Wealth ◽  
Home Equity ◽  
Reverse Mortgage ◽  
Insurance Cover

Purpose: In the regime of stretched old-age social security, federals and policymakers are presuming housing wealth as a means of sustainable livelihood for elderly homeowners.  The current study attempts to discover which demographic and financial factors are significant determinants of home equity liquidation through reverse mortgage of Indians in later life. Methodology: Binary logistic regression is applied to survey-based primary data of 410 elderly homeowners through SPSS software. Main Findings: Results of binary logistic regression model depicts that elderly considering an RM likely to be female, older, having poor health, childless or having girl child only, long life expectancy, resident of metro, employed, cash-constrained, not having any kind of insurance cover and those children are financially well are significantly more willing to opt for RM scheme. Implication: Study renders implications for Government and NHB, to provide refinancing facility to commercial banks so that home equity liquidation product like Reverse Mortgage can be able to fulfill income needs of greying India. Novelty/Originality: Length of research in European and western countries have been carried out to explore the attitude of older homeowner for housing wealth liquidation but Indian context, is largely untapped that how Indian older homeowner perceive their housing wealth and which factor influences them to delete it. In this way, current study attempts to bridge the research gap.

Public Attitudes and Concerns about Population Ageing in Japan

1996 ◽  
Vol 16 (4) ◽  
pp. 443-465 ◽  
Author(s):  
Robert L. Clark ◽  
Naohiro Ogawaf
Keyword(s):  
Social Security ◽  
Public Attitudes ◽  
Well Being ◽  
Population Ageing ◽  
Developed Country ◽  
Retirement Benefits ◽  
Nationally Representative ◽  
Survey Responses ◽  
The Impact ◽  
Economic Well Being

AbstractJapan is the most rapidly ageing developed country in the world. Economic, political, and social changes will be necessary in the next 20 years as Japan attempts to adjust to the rapid ageing of its population. This paper examines survey responses by Japanese men and women regarding their attitudes toward the ageing of their country's population, concerns about the impact of anticipated demographic changes on their economic well-being in retirement, and preferences among alternative policy options for changes in the Japanese social security programme. Responses to a nationally representative survey, conducted by Mainichi Newspapers in 1992, were analysed. Key findings indicate that: (1) the Japanese are concerned about the impact of population ageing on their economic well-being in retirement, (2) most Japanese anticipate that earnings will be an important source of their retirement income, but they are worried about employment opportunities, (3) they favour increasing social security taxes instead of cutting retirement benefits, and (4) they favour raising the age of eligibility for social security benefits.

Progress in the Delivery of Health Care in Mexico

PEDIATRICS ◽  
1981 ◽  
Vol 67 (1) ◽  
pp. 155-157
Author(s):  
Robert G. Frazier
Keyword(s):  
Health Care ◽  
Social Security ◽  
Delivery Of Health Care ◽  
Health Technology ◽  
Urban Centers ◽  
Retirement Benefits ◽  
Welfare Services ◽  
The Past ◽  
The Poor ◽  
The Masses

The Joint Pediatric Congress of the National Confederation of Pediatrics in Mexico and of the Mexican Association of Pediatrics, held April 28 through May 4, 1980, provided an unusual opportunity to review the dramatic changes that have been implemented in the past few years in the health care system of Mexico. A social security system, embodying health and welfare services and retirement benefits, became law in Mexico in 1943. In addition to supporting community welfare services, it has struggled to develop a format and resources for delivery of health care to the masses of Mexicans, including the poor or those too isolated from urban centers to have any effective access to the benefits of modern health technology.

This is Lebanon ... A Loaded Phrase

1970 ◽  
pp. 55
Author(s):  
Thomas Hornig
Keyword(s):  
Social Security ◽  
Safety Net ◽  
Social Safety Net ◽  
Residence Permit ◽  
Retirement Benefits ◽  
Work Permit ◽  
Catch 22 ◽  
The Law

When I explain that I’ve had eighteen continuous years of residence in Lebanon; eighteen years as a professor at the Lebanese National Conservatory of Music; eighteen years of marriage to a Lebanese woman; eighteen years of demeaning and costly work permit/ residence permit renewals; eighteen years of living with no social safety net, no social security, no protection under the law, and no retirement benefits; the hair-trigger response is always the same: “This is Lebanon”. This very loaded phrase is the ultimate deal-breaker. It implies apathy, frustration, a painful past and hopelessness. For a foreigner like me it represents an impasse, a ‘catch 22’.

Housing Wealth and Consumption: Evidence from Geographically Linked Microdata

2017 ◽  
Vol 107 (11) ◽  
pp. 3415-3446 ◽  
Author(s):  
Aditya Aladangady
Keyword(s):  
Causal Effect ◽  
House Price ◽  
Housing Markets ◽  
Borrowing Constraints ◽  
Housing Wealth ◽  
Home Equity ◽  
Regional Heterogeneity ◽  
Primary Driver ◽  
The Cost ◽  
Home Values

Rising home values also raise the cost of living, offsetting their impact on consumption. However, additional home equity collateral can loosen borrowing constraints, increasing spending for households that value their current endowment of housing highly. I use geographically linked microdata to exploit regional heterogeneity in housing markets and identify the causal effect of house price fluctuations on consumer spending. A $1 increase in home values leads to a $0.047 increase in spending for homeowners, but a negligible response for renters. Results reflect large responses among credit constrained households, suggesting looser borrowing constraints are a primary driver of the MPC out of housing wealth. (JEL D12, D14, E21, R31)

scholarly journals A Look at Retirement Funds in the Iranian Legal System

2019 ◽  
Vol 6 (1) ◽  
pp. 28
Author(s):  
Aidin Bagheri ◽  
Mohamadreza Mojtahdi
Keyword(s):  
Social Security ◽  
Legal System ◽  
Pension Funds ◽  
Macroeconomic Fluctuations ◽  
Retirement Benefits ◽  
The Future ◽  
The Status ◽  
The Difference ◽  
Single Standard ◽  
Retirement Funds

Pension funds are an important pillar of the social security system of the country. Historically, retirement funds in the Iranian legal system have been a source of many problems, most notably financial deficits. The lack of prospects for the future and the uncertain program and unprofessional management, as a result of the lack of transparency and ineffective and sometimes contradictory laws, have all worked together to make retirement funds a problem in the country; this turmoil and turmoil situation And the inadequacies of funds in all respects have caused worries about the future. Reasons for the aging of the population and the decline in employment and ... have increased the seriousness of the crisis. The implementation of early-retirement laws in different periods, macroeconomic fluctuations, and neglect of misguided and non-normative outlooks and government roles, and largely one-way interactions with funds, are one of the most important reasons for the existence of a crisis in retirement funds In recent years. In Iran, the increase in the number of retirement funds has been caused by various programs and systems (various regulations); in the absence of comprehensive welfare and social security systems in the country, the stratification and distribution of decay and support Boxes will also be added. In this context, it is necessary to gain a comprehensive understanding of the status and legal system of the pension funds, with the study of how the administration and the status of the cost are spent, the inputs of these funds and the amount and group covered. In other words, the multiplicity of pension funds and the lack of coordination between these institutions and the lack of a single standard in them and the lack of respect for the fairness of the income received by retirees has caused dissatisfaction with this important group of society, because the type of services and range of support, also from the fund to the fund The difference is different, and this creates discrimination and increases the gap between the strata; it should be noted that the function and function of pension funds is international and the lack of attention to these funds can have serious consequences in the community. Currently, reforms to the rules and regulations of the pension funds and the management and management of these funds are important and important priorities, and the planned measures should be directed towards changing the situation and improving the efficiency and funds and optimal and wise use. Resources are maintained, with no loss or damage to retirement benefits.

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