scholarly journals Reference Points for Retirement Behavior: Evidence from German Pension Discontinuities

2021 ◽  
Vol 111 (4) ◽  
pp. 1126-1165
Author(s):  
Arthur Seibold
Keyword(s):  
Administrative Data ◽  
Direct Effect ◽  
Financial Incentives ◽  
Reference Points ◽  
Pension Benefit ◽  
Reference Dependence ◽  
Pension Reforms ◽  
Retirement Behavior ◽  
Effective Policy ◽  
The Universe

This paper studies the large concentration of retirement behavior around statutory retirement ages, a puzzling stylized fact. To investigate this fact, I estimate bunching responses to 644 pension benefit discontinuities, using administrative data on the universe of German retirees. Financial incentives alone cannot explain retirement patterns, but there is a large direct effect of statutory retirement ages. I argue that the framing of statutory ages as reference points for retirement provides a plausible explanation. Simulations based on a model with reference dependence highlight that shifting statutory ages via pension reforms is an effective policy to influence retirement behavior. (JEL D91, H55, J26, J32)

scholarly journals Endogenous Retirement Behavior of Heterogeneous Households Under Pension Reforms

2018 ◽  
Author(s):  
Axel H. Börsch-Supan ◽  
Klaus Härtl ◽  
Duarte Nuno Leite ◽  
Alexander Ludwig
Keyword(s):  
Pension Reforms ◽  
Retirement Behavior ◽  
Endogenous Retirement

Daily Labor Supply and Adaptive Reference Points

2021 ◽  
Vol 111 (8) ◽  
pp. 2417-2443
Author(s):  
Neil Thakral ◽  
Linh T. Tô
Keyword(s):  
Labor Supply ◽  
Reference Point ◽  
Structural Model ◽  
Reference Points ◽  
Degree Of Freedom ◽  
Reference Dependence ◽  
Field Evidence ◽  
Dynamic View ◽  
Expected Earnings ◽  
Dependence Models

This paper provides field evidence on how reference points adjust, a degree of freedom in reference-dependence models. Examining this in the context of cabdrivers’ daily labor-supply behavior, we ask how the within-day timing of earnings affects decisions. Drivers work less in response to higher accumulated income, with a strong effect for recent earnings that gradually diminishes for earlier earnings. We estimate a structural model in which drivers work toward a reference point that adjusts to deviations from expected earnings with a lag. This dynamic view of reference dependence reconciles conflicting “neoclassical” and “behavioral” interpretations of evidence on daily labor-supply decisions. (JEL J22, J31, L94)

scholarly journals Financial Trouble Across Generations: Evidence from the Universe of Personal Loans in Denmark

2019 ◽  
Vol 130 (625) ◽  
pp. 233-262 ◽  
Author(s):  
Claus Thustrup Kreiner ◽  
Søren Leth-Petersen ◽  
Louise Charlotte Willerslev-Olsen
Keyword(s):  
Administrative Data ◽  
Driving Forces ◽  
Danish Population ◽  
Intergenerational Relationship ◽  
Financial Problems ◽  
Income Levels ◽  
Parental Income ◽  
Time Periods ◽  
Financial Behaviour ◽  
The Universe

Abstract This article uses administrative data with longitudinal information about defaults for the entire Danish population to analyse the driving forces behind financial problems. Non-parametric evidence shows that the default propensity is more than four times higher for individuals with parents in default compared with that for individuals with parents not in default. This intergenerational relationship is apparent soon after children move into adulthood and become legally able to borrow, and is remarkably stable across parental income levels, childhood school performances, levels of loan balances and time periods. The evidence indicates that inherited financial behaviour is important for explaining differences in financial trouble.

scholarly journals Goals as reference points in marathon running: A novel test of reference dependence

2018 ◽  
Vol 56 (1) ◽  
pp. 19-50 ◽  
Author(s):  
Alex Markle ◽  
George Wu ◽  
Rebecca White ◽  
Aaron Sackett
Keyword(s):  
Reference Points ◽  
Marathon Running ◽  
Reference Dependence

scholarly journals FINANCIAL INCENTIVES AS A DEVELOPMENT FACTOR FOR ECONOMIC ENTITIES

2017 ◽  
Vol 21 (2) ◽  
pp. 159-163
Author(s):  
E. V. Tinkova ◽  
G. A. Polskaya ◽  
S. A. Tinkov
Keyword(s):  
Economic Development ◽  
Financial Incentives ◽  
Business Processes ◽  
Labor Relations ◽  
Present Stage ◽  
Development Factor ◽  
Material Reward ◽  
Social And Economic Development ◽  
Effective Policy ◽  
Work Done

The low salaries are one of the most significant factors that does not contribute to social and economic development in the country. Therefore, at the present stage, it is necessary to restore all salary functions , especially stimulating one, to increase the proportion of material reward in people's monetary incomes. This will help to improve the living standards and purchasing power, revitalize business processes that will definitely contribute to the economic development of the country and economic entities. The article reveals the approach to the formation of material reward at the present stage. The employee receives his salary for the exercise of official duties, the bonus is determined by the complexity, quality, efficiency of the work done. The labor code of the Russian federation does not allow an employer to force an employee to do the job that is not included in the job description, unless an employee himself wants to do so. As research shows, in practice there are situations of social and labor relations that deviate from the norms of the employment contract. All these issues are urgent and require the development and implementation of an effective policy of social and labor relations.

scholarly journals The Effect of Changing Financial Incentives on Repartnering*

2019 ◽  
Vol 129 (623) ◽  
pp. 2833-2866 ◽  
Author(s):  
Hayley Fisher ◽  
Anna Zhu
Keyword(s):  
Administrative Data ◽  
Financial Incentives ◽  
Natural Experiment ◽  
Policy Reform ◽  
Financial Resources ◽  
Middle Income ◽  
Lone Parents ◽  
Lone Mothers ◽  
Data Capturing ◽  
Relationship Breakdown

AbstractThis article examines how a reduction in the financial resources available to lone parents affects repartnering. We exploit an Australian natural experiment that reduced the financial resources available to a subset of separating parents. Using biweekly administrative data capturing separations occurring among low- and middle- income couples, we show that the policy reform significantly increased the speed of repartnering for affected separating mothers. The results demonstrate that one way that lone mothers respond to a reduction in financial resources available at the time of relationship breakdown is by repartnering more quickly.

Evaluating alternative approaches for predicting pension benefits and incentives

2019 ◽  
pp. 1-14
Author(s):  
David Knapp ◽  
Maciej Lis ◽  
Jinkook Lee ◽  
Drystan Phillips
Keyword(s):  
Administrative Data ◽  
Past Research ◽  
Pension Benefit ◽  
Work History ◽  
Earnings Dynamics ◽  
Retirement Incentives ◽  
Alternative Approaches ◽  
Pension Benefits ◽  
Global Aging ◽  
Cross National

AbstractIn an effort to promote comparative research on pensions, the Gateway to Global Aging Data is developing harmonized cross-national panel data on pension benefits and retirement incentives. Past research has varied in how it predicts pension benefits for individuals who have not yet claimed their benefits when administrative data on earnings histories is unavailable. We use the Gateway data to evaluate several alternative approaches to computing prospective pension benefits using common survey questions and validate them against matched administrative data. We find that in some settings naïve measures of pension benefit growth from continued work and delayed benefit claiming can perform as well as measures based on administrative data. We also find that prospective benefit levels are sensitive to the heterogeneity of lifecycle earnings dynamics, resulting in substantial measurement error even after accounting for work history.

scholarly journals An Assessment of Environmental Awarness:The Role of Ethic Education

2019 ◽  
Vol 2 (2) ◽  
pp. 225
Author(s):  
Indri Murniawaty
Keyword(s):  
Direct Effect ◽  
Environmental Awareness ◽  
Economic Education ◽  
Environmental Knowledge ◽  
Environmental Damage ◽  
Ethical Knowledge ◽  
The Subject ◽  
Students Attitudes ◽  
The Universe

Environmental damage that occurred in Indonesia in the last three decades is due to human behavior by exploiting and depleting the universe in order to meet the interests and needs of human’s life. The objectives of this research were (1) to find out the direct effect of the students’environmental knowledge towards the environmental awareness, (2) to find out the indirect effect of the students' environmental knowledge towards the environmental awareness through ethics, (3) to find out the direct effect of student's ethics on environmental awareness. The sample of this research was the students of economic education who hadlearned the subject of environmental education. The researcher used a quantitative approach with explanatory research design to explain the state of each variable. Two things that contribute to environmental awareness were ethics and environmental knowledge. The results of this study showed that environmental and ethical knowledge significantly influenced environmental awareness. The environmental knowledge will shape students' attitudes and ethics towards the environment.

scholarly journals National Therapeutic Indicators in Scotland and Financial Incentives

2019 ◽  
Vol 4 (3) ◽  
Author(s):  
Sean MacBride-Stewart ◽  
Bruce Guthrie ◽  
Charis Marwick ◽  
Simon Hurding
Keyword(s):  
Administrative Data ◽  
Financial Incentives ◽  
Inhaled Corticosteroids ◽  
High Strength ◽  
Baseline Period ◽  
Prescribing Indicators ◽  
Cost Impact ◽  
The Impact ◽  
Linear Trends

Background with rationale National Therapeutic Indicators (NTI) in Scotland use national administrative data to identify variation and drive quality improvement in GP practice prescribing. Twelve indicators were developed in 2011 and in 2012 practices were offered financial incentives to review their prescribing in two where there was greatest potential for improvement. Main AimTo quantify the impact of 2012 NTI alone and in combination with financial incentives. Methods/ApproachSix NTI were selected for analysis, aiming for heterogeneity in terms of whether the focus was quality of care (clinical) or cost effectiveness (cost). Impact was evaluated using segmented linear regression of time-series prescribing data, and changes in prescribing at 12 and 24 months after NTI introduction were estimated. Other national interventions expected to influence GP prescribing were also modelled. ResultsOne selected NTI could not be modelled because of non-linear trends in the baseline period. In practices not financially incentivised to review prescribing, improvements were variable. At 12 months relative changes were dipyridamole −31.9% (95%CI; −43.1 to −20.7), quinine −3.6% (95%CI; −7.2 to −0.1), non-preferred statins 6.2% (95%CI; 1.0 to 11.5), hypnotics and anxiolytics −2.9% (95%CI; −7.3 to 1.6) and high strength inhaled corticosteroids −1.0% (95%CI; −1.7 to −0.3). In comparison financially incentivising practices resulted in larger improvements and improvements in all NTIs modelled. At 12 months relative changes were dipyridamole −65.3% (95%CI; −68.4 to −62.2), quinine −52.3% (95%CI; −54.7 to −49.9), non-preferred statins −17.8% (95%CI; −21.9 to −13.6), hypnotics and anxiolytics −9.6% (95%CI; −12.6 to −6.7) and high strength inhaled corticosteroids −6.0% (95%CI; −7.3 to −4.8). ConclusionGP prescribing can be improved through feedback of national administrative data prescribing indicators. Impact on prescribing is larger when financial incentives to focus on particular areas of prescribing are additionally used.

How Sticky Is Retirement Behavior in the U.S.?

2021 ◽  
pp. 1-55
Author(s):  
Manasi Deshpande ◽  
Itzik Fadlon ◽  
Colin Gray
Keyword(s):  
Social Security ◽  
Administrative Data ◽  
Regression Discontinuity ◽  
Cohort Analysis ◽  
Retirement Age ◽  
Regression Discontinuity Design ◽  
Suggestive Evidence ◽  
Research Designs ◽  
Retirement Behavior ◽  
The U.S

Abstract We study how increases in the U.S. Social Security full retirement age (FRA) affect benefit claiming behavior and retirement behavior separately. Using long panels of Social Security administrative data, we implement complementary research designs of a traditional cohort analysis and a regression-discontinuity design. We find that while claiming ages strongly and immediately shift in response to increases in the FRA, retirement ages exhibit persistent “stickiness” at the old FRA of 65. We use several strategies to explore the likely mechanisms behind the stickiness in retirement and find suggestive evidence that employers play a role in workers' responses to the FRA.

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