Handbook of the economics of population aging. 1A&B / John Piggott, Allan Woodland.

Format:

Book

Author/Creator:

Piggott, John, author.

Woodland, Allan, author.

Series:

Handbook of the Economics of Population Aging Series

Handbook of the Economics of Population Aging Series ; v.Volume 1A-1B

Language:

English

Subjects (All):

Population aging--Economic aspects.

Population aging.

Physical Description:

1 online resource (1,120 pages)

Edition:

1st ed.

Place of Publication:

Amsterdam, [Netherlands] : Elsevier, 2016.

Summary:

Handbook of the Economics of Population Aging synthesizes the economic literature on aging and the subjects associated with it, including social insurance and healthcare costs, both of which are of interest to policymakers and academics.

Contents:

9780444538413_WEB

Front Cover

Handbook of the Economics of Population Aging

Copyright

Introduction to the Series

Contents

Contributors

Editors´ Introduction

References

Acknowledgments

Part III: The Household Perspective

Chapter 8: Retirement Incentives and Labor Supply

1. Introduction

2. Trends in Employment Among the Elderly

2.1. Postwar Trends in Employment

2.2. Historical Context

2.3. Trends in Hours of Work

2.4. Trends in Self-Employment

3. The Retirement Decision

3.1. The Life-Cycle Profile of Hours and Employment

3.2. The Distribution of Hours Worked Near Retirement Age

3.3. Potential Explanations for the Abruptness of Retirement

4. Retirement Incentives

4.1. Declining Health

4.1.1. Measurement Issues

4.1.2. Key Findings

4.1.3. Trends in Health

4.1.4. Summary

4.2. Substitution Effects, Wealth Effects, and Liquidity Effects

4.3. Retirement Incentives from Falling Wages

4.3.1. Measurement Issues

4.3.2. Key Findings

4.4. Retirement Incentives From Public Pensions

4.4.1. Common Features of Public Pension Schemes Across Countries

4.4.2. A Detailed Example: Public Pension Programs in the United States

4.4.3. Public Pension Programs in Other Developed Countries

4.4.4. Key Findings

4.4.4.1. Importance of Earnings Tests

4.4.4.2. Effect of Actuarial Adjustments

4.4.4.3. Effect of Changing Early and Normal Retirement Ages

4.4.4.4. Benefit Generosity

4.4.5. Trends in Public Pension Incentives

4.5. Retirement Incentives From Private Pensions

4.5.1. Defined Benefit Pensions

4.5.2. Trends in Private Pension Incentives

4.6. Retirement Incentives From Disability Insurance

4.7. Retirement Incentives From Health Insurance

4.8. Expectations, Salience, and Focal Points

5. Models of the Retirement Decision.

5.1. Early Structural Models

5.2. A Structural Model With Savings and Uncertainty

5.3. Estimated Life-Cycle Labor Supply Elasticities

5.3.1. Retirement Elasticities

5.4. Policy Experiments

5.5. Recent Structural Models

5.5.1. Liquidity Constraints

5.5.2. Health

5.5.3. Disability Insurance

5.5.4. Medical Spending Risk

5.5.5. Explaining Differences in Retirement Across Countries and Over Time

5.5.6. Optimal Pensions Policy

5.6. Retirement and Financial Decision-Making

5.7. Option Value Models

5.8. Structural Models: Key Limitations and Challenges for the Future

6. Families and Households

6.1. Evidence on Retirement in Couples

6.2. Modeling Retirement Decisions in Couples

6.3. Separating Preferences and Financial Incentives for Joint Retirement

6.4. What Have We Learned About Joint Retirement?

7. Conclusions and Challenges

Chapter 9: Investing and Portfolio Allocation for Retirement

2. Short- vs Long-Term Risk of Retirement Investments

2.1. Inflation Risk

2.2. Mortality Risk

2.3. Morbidity Risk

2.4. Investment Risk

3. Accumulation of Retirement Assets

3.1. Labor Income as the Main Source of Retirement Savings

3.2. Main Features of Qualified Retirement Programs

4. Decumulation of Retirement Assets

4.1. Life Annuities

4.2. Drawdown Plans

5. Payout Portfolio and the Optimal Retirement Strategy

5.1. Existing Research on the Subject

5.2. Investing During the Retirement Phase-Simulation Example

5.3. Investing During the Whole Lifecycle-Simulation Example

6. Summary

Chapter 10: Conflict and Cooperation Within the Family, and Between the State and the Family, in the Provision of Old-Age S...

2. Savings, Gifts, and Care of Relatives

2.1. Life-Cycle Theory.

2.2. Descending Altruism

2.3. Ascending and Multilateral Altruism

2.4. Marriage, Divorce, and Remarriage

3. Social Security

3.1. The Basics of Public Pension Systems

3.2. Pensions in the Life-Cycle Model

3.3. Pensions in the Presence of Descending Altruism

3.4. Pensions in the Presence of Ascending Altruism

4. Family Rules

4.1. Family Constitutions

4.2. Family Constitutions with Sex Differentiation

4.3. Social Security vs Family Constitutions

4.4. Evidence

5. Optimal Policy

6. Conclusion

Chapter 11: Complex Decision Making: The Roles of Cognitive Limitations, Cognitive Decline, and Aging

2. Health Insurance and Health Care Choices

2.1. Evidence of ``Confusion´´ in Making Health Insurance Choices

2.1.1. Evidence That Consumers Fail to Understand Health Plan Attributes

2.1.2. Evidence That Consumers Fail to Properly Judge Insurance Costs and Benefits

2.1.3. Evidence on Choice Set Complexity, Age, and ``Confusion´´

2.1.4. Effect of Choice Set Simplification on Consumer Choice and Market Equilibrium

2.1.5. Summary

2.2. Evidence of ``Confusion´´ in Making Health Care Choices

3. Retirement Savings and Investment Planning

3.1. Evidence of ``Confusion´´ in Retirement Planning

3.1.1. Evidence That Consumers Hold Biased Expectations

3.1.2. Evidence That Consumers Misunderstand Pension Plan Rules and Entitlements

3.2. Evidence That Consumers Lack Financial Literacy

3.2.1. Evidence That Consumers Make Passive Choices

3.2.2. Evidence That Consumers Are "Confused" by Investment Decisions

3.3 Can Disclosures, Education, or Advice Reduce Retirement Planning"Confusion"?

4. Models of Choice Behavior That Incorporate Irrational Behavior and Confusion

4.1. Allowing Perceived Attributes to Differ From True Attributes.

4.2. Relaxing Theoretical Constraints on Choice Model Parameters

4.3. Allowing for Heterogeneity in the Choice Process

4.4. Incorporating Confusion in the Choice Process

4.5. Simple Methods to Model Dynamics That Relax Optimizing Assumptions

4.6. Summary and Directions for Future Work

5. Conclusion

Appendix A. Likelihood Function of the Harris-Keane Model

Appendix B. Simulations of Harris-Keane Healthplan Choice Model

Part IV: Public Policy with an Aging Population

Chapter 12: Taxation, Pensions, and Demographic Change

2. Fiscal Implications of Demographic Change

2.1. The Issue

2.2. Modeling the Impacts of Demographic Change

2.2.1. Population Aging and Demography

2.2.2. An Overview of Methods

2.3. National Studies

2.3.1. Some National Studies

2.3.2. USA

2.3.3. Japan

2.3.4. Australia

2.4. International Studies

2.5. Role of Sources of Demographic Change

2.6. Summary

3. Taxation Design

3.1. Introduction

3.2. Age-Dependent Taxation

3.2.1. Why the Interest in Age-Dependent Taxation?

3.2.2. The Ramsey Approach to Age-Dependent Taxation

3.2.3. The Mirrlees Approach to Age-Dependent Taxation

3.2.4. Summary

3.3. Taxation Design Issues

3.3.1. Taxation Reform and Analysis

3.3.2. The Taxation of Capital Income

3.3.3. Optimal Taxation

3.3.4. Optimal Taxation Over the Transition

4. Pension Design

4.1. Introduction

4.2. Means Testing of Pension Benefits

4.2.1. Why Is Means Testing an Issue?

4.2.2. Types of Means Tests

4.2.2.1. Australia's Age Pension-Subject to Income and Assets Tests

4.2.3. The Economics of Means Testing

4.2.3.1. Means Testing and Life Cycle Decisions

4.2.3.2. Impact on the Hours Decision

4.2.3.3. Impact on the Saving Decision

4.2.3.4. Other Approaches.

4.2.4. Optimal Means Test Design

4.2.5. Modeling and Implications of Means Testing

4.3. Pension and Social Security Design and Analysis

4.3.1. Privatization of Social Security

4.3.2. Optimal Pension Design

4.3.3. Political Support for Social Security

4.3.4. Relating Pensions to Demographic Change

5. Conclusions

Chapter 13: Social Security and Public Insurance

2. Pension Systems: Institutions and Basic Accounting Relations

2.1. Pay-As-You-Go Pension Systems

2.2. Fully Funded Pension Systems

2.3. Notional Defined Contribution Systems

2.4. Hybrid DB/DC Systems and Intergenerational Risk Sharing

2.5. Mixed Pension Systems in the Real World

3. Saving Behavior and Social Insurance

3.1. The Neoclassical Household Model

3.2. Textbook Life Cyclers

3.3. Poverty Alleviation and Moral Hazard

3.4. Longevity Risk

3.5. Myopia

3.6. Procrastination

4. Labor Supply and Social Insurance

4.1. Earnings Tests and Mandatory Retirement

4.2. Retirement Decisions and the Incentives Created by Social Insurance

4.3. Empirical Models of the Retirement Decision

4.4. Labor Supply Disincentives for Workers

4.5. Restrictions on Labor Supply

5. The Macroeconomics of Pension Systems in an Aging Population

5.1. Model Structure

5.2. Numerical Solution and Calibration

5.3. Conventional Model Variant: Baseline

5.4. GDP, Wages, Interest Rates, and Capital-Labor Substitution

5.5. GNP, Consumption, and International Diversification

6. Parametric Pension and Labor Market Reform

6.1. Exogenous Labor Supply

6.2. Lifting Labor Market Restrictions When Labor Supply Is Endogenous

7. Systemic Reform: The Transition From PAYG-DB to FF-DC

7.1. Life-Cycler Households in a Deterministic World.

7.2. Life-Cycler Households in a Stochastic World.

Notes:

Includes index.

Description based on online resource; title from PDF title page (ebrary, viewed December 12, 2016).

Description based on publisher supplied metadata and other sources.

ISBN:

0-444-63404-5

0-444-63405-3

OCLC:

964358706