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dc.contributor.authorBattistin, Erichen_US
dc.contributor.authorBrugiavini, Agaren_US
dc.contributor.authorRettore, Enricoen_US
dc.contributor.authorWeber, Guglielmoen_US
dc.date.accessioned2010-02-23en_US
dc.date.accessioned2011-07-04T09:19:06Z-
dc.date.available2011-07-04T09:19:06Z-
dc.date.issued2008en_US
dc.identifier.urihttp://hdl.handle.net/10419/47479-
dc.description.abstractIn this paper we investigate the size of the consumption drop at retirement in Italy. We use micro data on food and total non-durable household spending covering the period 1993-2004, and evaluate the change in consumption that accompanies retirement by exploiting the exogenous variability in pension eligibility to correct for the endogenous nature of the retirement decision. We take a regression discontinuity approach, and make the identifying assumption that consumption would be the same around the threshold for pension eligibility if individuals would not retire. We check in our data that a non-negligible fraction of individuals retire as soon as they become eligible, and estimate at 9:8% the part of the non-durable consumption drop that is associated with retirement induced by eligibility. We show that such fall is not driven by liquidity problems for the less well off in the population, and can be accounted for by drops in goods that are ork-related expenses or leisure substitutes. However, we also show that retirement induces a significant drop in the number of grown children living with their parents, and this can account for most of the retirement consumption drop.en_US
dc.language.isoengen_US
dc.publisherInst. for Fiscal Studies Londonen_US
dc.relation.ispartofseriesIFS working papers 08,05en_US
dc.subject.jelD9en_US
dc.subject.jelE2en_US
dc.subject.ddc330en_US
dc.subject.keywordConsumptionen_US
dc.subject.keywordRegression Discontinuity Designen_US
dc.subject.keywordRetirementen_US
dc.subject.stwAlterssicherungen_US
dc.subject.stwVerbraucherausgabenen_US
dc.subject.stwNahrungsmittelkonsumen_US
dc.subject.stwItalienen_US
dc.titleThe retirement consumption puzzle: Evidence from a regression discontinuity approachen_US
dc.typeWorking Paperen_US
dc.identifier.ppn578421895en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US
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