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Live Longer, Work Longer? Evidence from Sweden’s Ageing Population

Qi, Haodong LU (2016) In Lund Studies in Economic History 75.
Abstract (Swedish)
Popular Abstract in English

Sweden’s elderly population is growing, propelled by a continuous decline in old-age

mortality, while coupled with a persistent replacement level fertility. This

changing age structure increases the per worker cost of providing a given age-vector

of per capita benefits, encompassing costs for pensions, health care, and all

other type of old-age welfare services, which presents a looming challenge for the

welfare state to sustain its social transfer system. Options for tackling this daunting

challenge, such as increasing fertility and immigration levels, cutting benefits and

growing public debts, present numerous obstacles, thus... (More)
Popular Abstract in English

Sweden’s elderly population is growing, propelled by a continuous decline in old-age

mortality, while coupled with a persistent replacement level fertility. This

changing age structure increases the per worker cost of providing a given age-vector

of per capita benefits, encompassing costs for pensions, health care, and all

other type of old-age welfare services, which presents a looming challenge for the

welfare state to sustain its social transfer system. Options for tackling this daunting

challenge, such as increasing fertility and immigration levels, cutting benefits and

growing public debts, present numerous obstacles, thus discussion of policy options

has shifted the focus towards extending working life. This book contributes

to this ongoing policy discussion by exploring the recent trends in labor supply,

and investigating the underlying mechanisms driving these trends. The results of

this work illustrate a recent trend of prolonging working life in Sweden, whereby

average labor income has increased at older ages, and younger cohorts have increasingly

postponed their retirement. While these changes are uniform across

individuals of different sexes, occupations, and educational levels, the underlying

mechanisms appear different. These micro mechanisms may have myriad implications

concerning aggregate economic support for the ageing Swedish population.

In this regard, the findings in this book are relevant inputs for assessing the welfare

consequences of population ageing and deriving evidence-based policy options. (Less)
Abstract
Sweden’s elderly population is growing, propelled by a continuous decline in old-age

mortality, while coupled with a persistent replacement level fertility. This

changing age structure increases the per worker cost of providing a given age-vector

of per capita benefits, encompassing costs for pensions, health care, and all

other type of old-age welfare services, which presents a looming challenge for the

welfare state to sustain its social transfer system. Options for tackling this daunting

challenge, such as increasing fertility and immigration levels, cutting benefits and

growing public debts, present numerous obstacles, thus discussion of policy options

has shifted... (More)
Sweden’s elderly population is growing, propelled by a continuous decline in old-age

mortality, while coupled with a persistent replacement level fertility. This

changing age structure increases the per worker cost of providing a given age-vector

of per capita benefits, encompassing costs for pensions, health care, and all

other type of old-age welfare services, which presents a looming challenge for the

welfare state to sustain its social transfer system. Options for tackling this daunting

challenge, such as increasing fertility and immigration levels, cutting benefits and

growing public debts, present numerous obstacles, thus discussion of policy options

has shifted the focus towards extending working life. This book contributes

to this ongoing policy discussion by exploring the recent trends in labor supply,

and investigating the underlying mechanisms driving these trends. The results of

this work illustrate a recent trend of prolonging working life in Sweden, whereby

average labor income has increased at older ages, and younger cohorts have increasingly

postponed their retirement. While these changes are uniform across

individuals of different sexes, occupations, and educational levels, the underlying

mechanisms appear different. These micro mechanisms may have myriad implications

concerning aggregate economic support for the ageing Swedish population.

In this regard, the findings in this book are relevant inputs for assessing the welfare

consequences of population ageing and deriving evidence-based policy options. (Less)
Please use this url to cite or link to this publication:
author
supervisor
opponent
  • Professor Pedersen, Peder, Department of Economics and Business Economics, Aarhus University
organization
publishing date
type
Thesis
publication status
published
subject
keywords
Employment, Retirement Behavior, Working Life, Labor Supply, Pension Reform, Financial Incentives, Population Ageing
in
Lund Studies in Economic History
volume
75
pages
218 pages
publisher
Department of Economic History, Lund University
defense location
EC3:207, School of Economics and Management, Lund University, Sweden
defense date
2016-03-04 14:00
ISSN
1400-4860
language
English
LU publication?
yes
id
52371e35-29da-417f-a573-8f4e2ea4bcf0 (old id 8594774)
date added to LUP
2016-02-08 09:53:38
date last changed
2016-09-19 08:44:45
@phdthesis{52371e35-29da-417f-a573-8f4e2ea4bcf0,
  abstract     = {Sweden’s elderly population is growing, propelled by a continuous decline in old-age<br/><br>
mortality, while coupled with a persistent replacement level fertility. This<br/><br>
changing age structure increases the per worker cost of providing a given age-vector<br/><br>
of per capita benefits, encompassing costs for pensions, health care, and all<br/><br>
other type of old-age welfare services, which presents a looming challenge for the<br/><br>
welfare state to sustain its social transfer system. Options for tackling this daunting<br/><br>
challenge, such as increasing fertility and immigration levels, cutting benefits and<br/><br>
growing public debts, present numerous obstacles, thus discussion of policy options<br/><br>
has shifted the focus towards extending working life. This book contributes<br/><br>
to this ongoing policy discussion by exploring the recent trends in labor supply,<br/><br>
and investigating the underlying mechanisms driving these trends. The results of<br/><br>
this work illustrate a recent trend of prolonging working life in Sweden, whereby<br/><br>
average labor income has increased at older ages, and younger cohorts have increasingly<br/><br>
postponed their retirement. While these changes are uniform across<br/><br>
individuals of different sexes, occupations, and educational levels, the underlying<br/><br>
mechanisms appear different. These micro mechanisms may have myriad implications<br/><br>
concerning aggregate economic support for the ageing Swedish population.<br/><br>
In this regard, the findings in this book are relevant inputs for assessing the welfare<br/><br>
consequences of population ageing and deriving evidence-based policy options.},
  author       = {Qi, Haodong},
  issn         = {1400-4860},
  keyword      = {Employment,Retirement Behavior,Working Life,Labor Supply,Pension Reform,Financial Incentives,Population Ageing},
  language     = {eng},
  pages        = {218},
  publisher    = {Department of Economic History, Lund University},
  school       = {Lund University},
  series       = {Lund Studies in Economic History},
  title        = {Live Longer, Work Longer? Evidence from Sweden’s Ageing Population},
  volume       = {75},
  year         = {2016},
}