Parametric pension reform and the intensive margin of labor supply, evidence from Colombia
We analyze the effect of a parametric reform of the fully-funded pension regime in Colombia on the intensive margin of the labor supply. We take advantage of a threshold defined by law in order to identify the causal effect using a regression discontinuity design. We find that a pension system that...
| Autores Principales: | , , |
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| Formato: | Documento de trabajo (Working Paper) |
| Lenguaje: | Español (Spanish) |
| Publicado: |
Universidad del Rosario
2015
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| Materias: | |
| Acceso en línea: | http://repository.urosario.edu.co/handle/10336/10823 |
| Sumario: | We analyze the effect of a parametric reform of the fully-funded pension regime in Colombia on the intensive margin of the labor supply. We take advantage of a threshold defined by law in order to identify the causal effect using a regression discontinuity design. We find that a pension system that increases retirement age and the minimum weeks during which workers must contribute to claim pension benefits causes an increase of around 2 hours on the number of weekly worked hours; this corresponds to 4% of the average number of weekly worked hours or around 14% of a standard deviation of weekly worked hours. The effect is robust to different specifications, polynomial orders and sample sizes. |
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