Template-Type: ReDIF-Paper 1.0
Series: Tinbergen Institute Discussion Papers
Creation-Date: 1999-08-05
Number: 99-056/3
Author-Name: Peter Alders
Author-Workplace-Name: Erasmus University Rotterdam
Title: Human Capital and Retirement
Abstract: This paper investigates the relation between human capital andretirement when the age of retirement is endogenous. This relation isexamined in a life-cycle earnings model. An employee works full timeuntil retirement. The worker accumulates human capital by training-on-the-job and by learning-by-doing. The human capital of an employeeis subject to depreciation when knowledge of technologies becomesobsolete. After a shock in technology, the worker depreciates on hishuman capital. The lower human capital results in a lower life-timeincome, but also in a lower price of an earlier retirement.
Classification-JEL: J24; J26; O33
Keywords: endogenous retirement; human capital; life-cycle models
File-Url: https://papers.tinbergen.nl/99056.pdf
File-Format: application/pdf
File-Size: 579584 bytes
Handle: RePEc:tin:wpaper:19990056