Documents Brugiavini, Agar 6 results

"This paper uses administrative data to study the retirement decisions of Italian private-sector non-agricultural employees during the period 1977–97. Our analysis tries to assess the importance of the financial incentives built into the social security system. The basic idea is very simple: at any given age, and based on the available information, workers compare the expected present value of two alternatives: retiring today or working one more year, and then choose the best one.A key role in this kind of comparisons is played by social security wealth, whose level and changes reflect the expectations about the profile of future earnings and the institutional features of the social security system. The various incentive measures that we consider differ in the precise weight given to the social security wealth that workers accrue as they continue to work.Our model does not provide a structural representation of the retirement process. A worker's decision is modeled here following a 'quasi reduced-form' approach, with the incentive measures entering as predictors of the worker's choice in addition to standard variables. The estimated models are then used to predict retirement probabilities under alternative policies that change social security wealth and derived incentive measures."

"We address the issue of how early retirement may interact with limited use of financial markets in producing financial hardship later in life, when some risks (such as long-term care) are not insured. We argue that the presence of financially attractive early retirement schemes in a world of imperfect financial and insurance markets can lead to an 'early retirement trap'. Indeed, Europe witnesses many (early) retired individuals in financial distress. In our analysis we use data on 10 European countries, which differ in their pension and welfare systems, in prevailing retirement age and in households' access to financial markets. We find evidence that an early retirement trap exists, particularly in some Southern and Central European countries: people who retired early in life are more likely to be in financial hardship in the long run. Our analysis implies that governments should stop making early retirement attractive, let retirees go back to work, improve access to financial markets and make sure long-term care problems are adequately insured."

"This paper looks at welfare reforms in Italy and their effects on labour supply. I focus on social security reforms, which have taken place in the 1990s and on labour market reforms. Old age social security expenditure in Italy is high (14% of GDP) and the system has been very generous on early retirement possibilities: the reforms have tried to tackle these issues with mixed results. The labour market reforms have addressed the rigidity of the labour market by making it easier for firms to hire on a short-term basis. However the UI system is limited to open-ended contracts and coverage is also restricted, so that young workers employed in short-term contracts have very little protection from the welfare state."

"Using data from the recent SHARE COVID-19 survey and additional information collected in the previous waves of SHARE, we explore the effects of occupation's characteristics on two outcomes: (i) the probability of work interruptions during the pandemic, coupled with the length of such interruptions and (ii) the probability of switching to homeworking during the lockdown. In order to assess how job features affected the likelihood of having experienced work interruptions or shifted to teleworking, we define six occupation categories by classifying the ISCO job titles according to two criteria: the safety level of the occupation and the essential (unessential) nature of the good or service provided. We find that characteristics of the occupation are major determinants of the probability of experiencing work interruptions and determine the length of such interruptions. Working from home also largely depends on the features of the job, even controlling for many other covariates at the individual level. In addition, we show that labour market outcomes of women, self-employed and less educated workers are negatively affected by the pandemic to a much larger extent than men."