Your Retirement and My Health Behavior: Evidence on Retirement Externalities from a Fuzzy Regression Discontinuity Design

Posted: 19 Oct 2017

See all articles by Tobias Müller

Tobias Müller

University of Bern - Department of Economics; University of Lucerne

Mujaheed Shaikh

Vienna University of Economics and Business

Date Written: September 18, 2017

Abstract

This paper presents evidence on intra-household retirement externalities by assessing the causal effect of spousal retirement on various health behaviors and health status across 19 European countries. We identify partner's and own retirement effects by applying a fuzzy regression discontinuity design using retirement eligibility as exogenous instruments for spousal and own retirement status. We find significant increases in the frequency and intensity of alcohol consumption combined with a significant decrease in moderate physical activities as a response to partner's retirement. In line with the existing literature, we find that own retirement has significant positive effects on engaging in moderate and vigorous physical activities but also leads to a significant increase in the frequency of alcohol intake. Overall, subjective health is negatively affected by spousal retirement and positively by own retirement.

Keywords: Retirment, Externalities, Health behavior, Regression Discontinuity Design

JEL Classification: J26, I12, C26

Suggested Citation

Müller, Tobias and Shaikh, Mujaheed, Your Retirement and My Health Behavior: Evidence on Retirement Externalities from a Fuzzy Regression Discontinuity Design (September 18, 2017). Available at SSRN: https://ssrn.com/abstract=3055171

Tobias Müller (Contact Author)

University of Bern - Department of Economics ( email )

Schanzeneckstrasse 1
Bern, CH-3001
Switzerland

University of Lucerne ( email )

Hofstrasse 9
P.O. Box 7464
Luzern 7, CH - 6000
Switzerland

Mujaheed Shaikh

Vienna University of Economics and Business ( email )

Welthandelsplatz 1
Vienna, Wien 1020
Austria

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