Determinants of engagement in paid work following social security benefit receipt among older women

Work behavior among older men approaching or following retirement has received considerable research attention over the past two decades, but research on older women's work behavior is still in its incipient stage. Based on data from the 1982 New Beneficiary Survey (NBS) and the 1991 New Beneficiary Follow-up (NBF), this study analyzes the extent and determinants of employment among women who received their first Social Security benefits between 1980 and 1981. More than one fourth of the women continued to work or rejoined the labor force following their first Social Security benefit receipt. Financial need was found to be the primary reason for and the most significant determinant of women's continuing work or (re)entry into the labor force. But the level of education, health, spouse's work status, and previous work history were also found to be significant determinants of the likelihood and duration of their employment following Social Security receipt.     

Disability Among Native-born and Foreign-born Blacks in the United States

Using the 5% Public Use Micro Data Sample (PUMS) from the 2000 U.S. census, we examine differences in disability among eight black subgroups distinguished by place of birth and Hispanic ethnicity. We found that all foreign-born subgroups reported lower levels of physical activity limitations and personal care limitations than native-born blacks. Immigrants from Africa reported lowest levels of disability, followed by non-Hispanic immigrants from the Caribbean. Sociodemographic characteristics and timing of immigration explained the differences between these two groups. The foreign-born health advantage was most evident among the least-educated except among immigrants from Europe/Canada, who also reported the highest levels of disability among the foreign-born. Hispanic identification was associated with poorer health among both native-born and foreign-born blacks.     

Determinants of Engagement in Paid Work Following Social Security Benefit Receipt Among Older Women

ABSTRACT

Work behavior among older men approaching or following retirement has received considerable research attention over the past two decades, but research on older women's work behavior is still in its incipient stage. Based on data from the 1982 New Beneficiary Survey (NBS) and the 1991 New Beneficiary Follow-up (NBF), this study analyzes the extent and determinants of employment among women who received their first Social Security benefits between 1980 and 1981. More than one fourth of the women continued to work or rejoined the labor force following their first Social Security benefit receipt. Financial need was found to be the primary reason for and the most significant determinant of women's continuing work or (re)entry into the labor force. But the level of education, health, spouse's work status, and previous work history were also found to be significant determinants of the likelihood and duration of their employment following Social Security receipt.     

Retirement against the demographic trend: More older people living longer, working less, and saving less?

The American population is aging rapidly and individuals are living longer. Yet Americans are saving less and older workers are leaving the labor force at younger and younger ages. The accelerated drop in labor force participation corresponds roughly to the introduction of Social Security and the adaption of employer-provided pension plans. I have illustrated that Social Security and employer-provided pension plans provide substantial incentive to leave the labor force early. The quantitative effect of this inducement is illustrated by simulating the effects of changes in pension plan and Social Security provisions on the retirement decisions of employees in a large firm, who are covered by a typical defined benefit pension plan. Scheduled Social Security changes would have little effect on the retirement decisions of employees with a typical defined benefit pension plan like the one considered here. But if the pension plan provisions were changed to correspond to the Social Security changes, the effect would be very large. And, although not contemplated by current legislation, it is clear that an increase in the Social Security early retirement age would have a substantial effect on the early retirement rates of the large number of employees not covered by a pension plan.     

Who Wins and Who Loses? Public Transfer Accounts for US Generations Born 1850 to 2090

Public transfer programs in industrial countries are thought to benefit the elderly through pension and health care programs at the expense of the young and future generations. This intergenerational picture changes, however, if public education is also considered as a transfer program. We calculate the net present value at birth of benefits received minus taxes paid for US generations born 1850 to 2090. Surprisingly, all generations 1950 to 2050 are net gainers, while many current elderly are net losers. Windfall gains from starting Social Security and Medicare partially offset windfall losses from starting public education, roughly consistent with the arguments of Becker and Murphy.     

Factors influencing the choice of social security early retirement benefits

The present research focuses directly on the choice of early retirement Social Security benefits in 1973 for men who responded to the National Retirement History Survey. This focus is more appropriate than examining early retirement more generally when the issue is solvency of the Social Security system and appropriate changes in benefits and eligibility. While this study confirms the important role of private pensions, it tests an important concept of availability of suitable work. This factor, which proved to be a significant predictor of early beneficiary status for both blacks and whites, is critical to assumptions concerning the effect of possible changes in the age of eligibility for Social Security Early Retirement benefits. The data are also used to estimate a dramatic increase in poverty among early benficiaries and their families if these benefits were removed from their current income.This research was supported by a grant from the AARP Andrus Foundation     

Does the Hispanic Paradox in U.S. Adult Mortality Extend to Disability?

Studies consistently document a Hispanic paradox in U.S. adult mortality, whereby Hispanics have similar or lower mortality rates than non-Hispanic whites despite lower socioeconomic status. This study extends this line of inquiry to disability, especially among foreign-born Hispanics, since their advantaged mortality seemingly should be paired with health advantages more generally. We also assess whether the paradox extends to U.S.-born Hispanics to evaluate the effect of nativity. We calculate multistate life tables of life expectancy with disability to assess whether racial/ethnic and nativity differences in the length of disability-free life parallel differences in overall life expectancy. Our results document a Hispanic paradox in mortality for foreign-born and U.S.-born Hispanics. However, Hispanics’ low mortality rates are not matched by low disability rates. Their disability rates are substantially higher than those of non-Hispanic whites and generally similar to those of non-Hispanic blacks. The result is a protracted period of disabled life expectancy for Hispanics, both foreign- and U.S.-born.     

Long‐Term Trends in Life Expectancy and Active Life Expectancy in the United States

Changes in life expectancy and in active life expectancy may have effects on the fiscal integrity of both the Social Security and Medicare programs. Analysis of the fiscal stability of these programs shows that the most serious problem may be the growth of Medicare expenditures projected to surpass, in about 2024, Social Security costs. This is aggravated by the associated rapid growth of the Medicaid program. To understand how the growth of Medicare, Medicaid, and Social Security might be correlated we present estimates of changes in life expectancy and active life expectancy from 1935 to 1999 and then project those values to 2080. How the correlation of life expectancy and active life expectancy changes over time, and by age, may provide insights into how increased health care expenditures, if effective in changing health in the elderly, could modify the age structure of the labor force and the availability of human capital.     

Effects of receipt of Social Security retirement benefits on older women’s employment

Labor force participation of women has declined since 1999; however, labor force participation of women 62+ has increased. The 2000–2006 waves of Health and Retirement Study (HRS) data, the initial years of the continuing upward trajectory, were used to test the effects of receipt of Social Security retirement benefits on older women’s employment. The models tested: (a) the effect of receipt of Social Security retirement benefits on whether employed; and (b) for women receiving Social Security retirement benefits, the effect of age elected receipt of benefits on whether employed. Both models included the effects of human capital characteristics and income sources. Receipt of Social Security benefits, pension income, and current age reduced the likelihood of employment; while educational level, good to excellent health, and nonmarried marital status increased the likelihood of employment. The older the woman was when she elected Social Security benefits, the more likely she was to be employed.     

Parenthood and Quality of Life in Old Age: The Role of Individual Resources,the Welfare State and the Economy

Although the notion of ‘Social Europe’ can refer to different principles and policy options, most research narrows down attitudes towards Social Europe to a unidimensional construct. In this study, we instead propose a multi-dimensional approach, and contribute to the literature in three ways. First, we elaborate the notion of ‘Social Europe’ conceptually, and distinguish between the decision-making level for social policy, European social citizenship, harmonization, member-state solidarity and interpersonal solidarity. Second, analysing the 2014 Belgian National Election Study by means of confirmatory factor analysis we evidence that citizens indeed have distinct attitudes towards the policy principles and instruments of Social Europe. Although these attitudinal dimensions are interrelated, they cannot be reduced to a single Social Europe factor, meaning that citizens differentiate in their attitudes between various aspects of Social Europe. In addition, our research indicates that member-state solidarity is the primary aspect of Social Europe in public opinion, whereas the feature that has received most scholarly attention in empirical research to date—the preferred decision-making level for social policy—cannot be considered as a key component of attitudes towards Social Europe. Third, we investigate whether citizens with different educational levels conceptualize Social Europe similarly using multigroup confirmatory factor analysis. Results indicate that the attitudinal factor structure of Social Europe is largely equivalent among lower and higher-educated citizens.     

Insights from longitudinal data on the earnings growth of U.S. foreign-born men

Does the growth in earnings of foreign-born men exceed that of U.S. natives? We use longitudinal data on earnings from a Social Security Administration (SSA) database matched to the 1994 March Current Population Survey to shed new light on this important issue. We also examine the trend over time in the foreign-born men's earnings growth and illuminate the various ways that SSA data can be used to explore the earnings patterns of immigrants.     

Social security reforms and poverty among older dual-earner couples

Existing retirement studies have, in the main, focused only on labor supply decisions of couples in which the husband has been the sole earner. This paper extends the focus of analysis to examine retirement among dual-earner couples. It further develops a framework for assessing how several past and prospective Social Security reforms might be expected to affect older working couples' retirement ages and retirement incomes. Two questions are addressed in some detail: (1) What are the likely effects of various changes in Social Security rules on the retirement decisions of older working women and their husbands? and (2) How might these changes alter the incidence of poverty among retired dual-earner couples? Empirical evidence from the United States suggests that many benefit reforms currently being discussed in policy circles will enhance Social Security system revenues, but will also worsen the economic status of an important segment of dual-earner couples.     

Death and Taxes: Longer life, consumption, and social security

We analyze in three steps the influence of the projected mortality decline on the long run finances of the Social Security System. First, on a theoretical level, mortality decline adds person years of life which are distributed across the life cycle. The interaction of this distribution with the age distribution of labor earnings minus consumption, or of taxes minus benefits, partially determines the corresponding steady state financial consequences of mortality decline. The effect of mortality decline on population growth rates also matters, but is negligible in low mortality populations. Second, examination of past mortality trends in the United States and of international trends in low mortality populations, suggests that mortality will decline faster than foreseen by the Social Security Administration s forecasts. Third, we combine the work of the first two parts in dynamic simulations to examine the implications of mortality decline and of alternative forecasts of mortality for the finances of the social security system. Also, we use stochastic population forecasts to assess the influence of uncertainty about mortality decline on uncertainty about finances; we find that uncertainty about fertility still has more important implications than uncertainty about mortality, contrary to sensitivity tests in the official forecasts.     

Gender differences in activity of daily living of the elderly in rural China: evidence from Chaohu

Using data from a sample survey, Well-being of the elderly in Anhui province, China, this paper studies the effects of health, economic and family factors on the activities of daily living (ADLs) as measures of disability for elderly men and women. The objective is to explore reasons for gender differences in ADLs in rural China. Our results suggest that higher incidence rates of chronic diseases, lower cognitive ability, as well as heavier household and daily care burdens of females, are the main factors leading to a higher prevalence of ADL disability for the female elderly.     

农民工社会信任危机的生成原凶与对策探讨——基于皖北D县的调查

社会信任对农民工的城市融合具有重要意义。本文以皖北D县的8个自然村的调查数据为基础．对农民工的社会信任状况进行分析。研究发现,农民工的社会信任状况不容乐观。在此基础上,本文从社会排斥和信任机制缺失两个方面分析了农民工社会信任危机的生成原因。最后,从农民工自身、组织、制度等方面提出相应措施。     

Alan Greenspan on the Economic Implications of Population Aging

At the 2004 annual symposium of central bank leaders sponsored by the Federal Reserve Bank of Kansas City at Jackson Hole, Wyoming, Alan Greenspan, Chairman of the US Federal Reserve Board, devoted his opening remarks on 27 August to a discussion of the economic implications of population aging. The full text of his remarks is reproduced below. Greenspan's high prestige and great influence on US economic policy lend special interest to his views on this much-discussed subject (see also the next Documents item in this issue). He outlines the coming demographic shift in the United States in language that is characteristically cautious and qualified. (The elderly dependency ratio will “almost certainly” rise as the baby boom generation retires, Greenspan says, although elsewhere he terms the process, more accurately, inexorable.) The main factor responsible for population aging he identifies as the decline of fertility. Immigration is an antidote, but, to be effective, its size would have to be much larger than is envisaged in current projections. Greenspan's assessment of the economic consequences of the changing age structure highlights the prospect of a deteriorating fiscal situation in the United States: chronic deficits in the Social Security program over the long haul, assuming that existing commitments for benefits per retiree are met, and even greater difficulties for the health care system for the elderly—Medicare—in which the effects of increasing numbers in old age are amplified by advances in medical technology and the bias inherent in the current system of subsidized third-party payments. The sober outline of policy choices imposed by population aging—difficult in the United States, but less so, Greenspan notes, than in Europe and Japan—underlies the need for counteracting the declining growth of the population of labor force age through greater labor force participation and later retirement. Beyond that, growth of output per worker can provide the key “that would enable future retirees to maintain their expected standard of living without unduly burdening future workers.” This requires continuation of policies that enhance productivity, such as deregulation and globalization, and greater investment. In turn, the latter presupposes greater domestic saving, both personal and by the government, as the United States cannot “continue indefinitely to borrow saving from abroad.” Demographic aging requires a new balance between workers and retirees. Curbing benefits once bestowed is difficult: only benefits that can be delivered should be promised. Public programs should be recalibrated, providing incentives for individuals to adjust to the inevitable consequences of an aging society.     

Migration, health, and environment in the desert southwest

The “immigrant health paradox” has captured the attention of researchers struggling to understand why immigrants to the United States appear to have health advantages that would not be predicted by their socioeconomic position. This research extends prior analyses through examination of the potential role of environmental factors in explaining the immigrant health paradox. We use data from the Phoenix Area Social Survey, a survey conducted in 2006 of approximately 800 individuals. Multilevel ordered logistic models examine three health outcomes: self-rated health, heat stress, and asthmatic symptoms. An innovation is our multiple considerations of contextual factors, including neighborhood amenities, disorder, traffic counts, and the heat index. We have three key findings: (1) frequent local migration has negative impacts on health, (2) the local neighborhood environment partially mediates differences between US-born non-Hispanic Whites and foreign-born Hispanics, and (3) subjective measures of the local environment tend to have greater effects than objective measures. In sum, our analyses suggested a need for studies of place and health to consider migration and residential history as a factor shaping health outcomes. Further, regarding the immigrant paradox, the results suggest the need to move beyond a dichotomous measure of immigration contrasting international migrants with native-born residents.     

The Impact of Salmon Bias on the Hispanic Mortality Advantage: New Evidence from Social Security Data

A great deal of research has focused on factors that may contribute to the Hispanic mortality paradox in the United States. In this paper, we examine the role of the salmon bias hypothesis—the selective return of less-healthy Hispanics to their country of birth—on mortality at ages 65 and above. These analyses are based on data drawn from the Master Beneficiary Record and NUMIDENT data files of the Social Security Administration. These data provide the first direct evidence regarding the effect of salmon bias on the Hispanic mortality advantage. Although we confirm the existence of salmon bias, it is of too small a magnitude to be a primary explanation for the lower mortality of Hispanic than non-hispanic (NH)-White primary social security beneficiaries. Longitudinal surveys that follow individuals in and out of the United States are needed to further explore the role of migration in the health and mortality of foreign-born US residents and factors that contribute to the Hispanic mortality paradox.     

Leaving Retirement: Age-Graded Relative Risks of Transitioning Back to Work or Dying

Demographic research has documented the age-graded risk of returning to work after a period of retirement; few studies, however, have disaggregated this risk into the different forms work takes in later life. Moreover, prior research has not explored the age-graded risk of re-retiring after reentry. This study uses the 1992–2008 Health and Retirement Study to first examine the age-graded and duration dependent risks of transitioning to full-time work, part-time work, and mortality from full retirement. Second, this study documents the age-graded duration of reemployment, and the age-graded risk of re-retiring. Results from multi-decrement life tables indicate reemployment both occurs more frequently and lasts longer than previously estimated. The gender differences in risk of reemployment are modest, although women are at greater risk of returning to part-time work, whereas men are at greater risk of returning to full-time work. Additionally, retirees from services-producing industries are at lower risk of transitioning to work, but greater risks of mortality, suggesting retirement is a less permanent feature in the life course of retirees from goods-producing industries. Finally, the results suggest Social Security benefit eligibility plays a part in reducing reentry at later ages.     

Gender Differences in Activity of Daily Living of the Elderly in Rural China: Evidence from Chaohu

ABSTRACT

Using data from a sample survey, “Well-being of the elderly in Anhui province, China,” this paper studies the effects of health, economic and family factors on the activities of daily living (ADLs) as measures of disability for elderly men and women. The objective is to explore reasons for gender differences in ADLs in rural China. Our results suggest that higher incidence rates of chronic diseases, lower cognitive ability, as well as heavier household and daily care burdens of females, are the main factors leading to a higher prevalence of ADL disability for the female elderly.