How Does Additional Pension Benefit Affect Workers’ Retirement Timing?

With longevity increasing and public pensions shrinking, old age poverty is a pressing issue in many economies. Noting that this issue has particular impact on women, in this video, HAN YE explores the extent to which additional pension benefit affects workers’ decisions on when to retire. Focusing on a German pension subsidy scheme introduced in 1992, Han Ye’s study breaks new ground in its isolation of the causal impact of additional pension benefits from other variations in the pensions regime. Highlighting both flaws and benefits of the German scheme, Han Ye’s research opens important avenues for both researchers and public policy makers interested in optimal ways to address the issue of old age poverty.