Mandatory Retirement and Its Impacts on Consumption in China

Publication Date

1-1-2013

Grant Type

Early Career Research Award

Description

This project proposes to investigate household consumption changes at retirement in China, exploring a large confidential data set that has detailed quantity and price information on refined consumption categories. Regression discontinuity (RD) and recently developed quantile RD design will be used, taking advantage of the special institutional feature of China, the mandatory retirement policy. Unlike existing studies, which focus on developed Western countries, this project will provide evidence from a large developing country. This project will also exploit mandatory retirement as a quasi-experimental setting for nonparametric identification of the effect of retirement on consumption. More importantly, this project will provide direct evidence on consumption price and quantity changes, instead of just expenditure changes.

Grant Product

Mandatory Retirement and the Consumption Puzzle: Prices Decline or Quantities Decline?
Upjohn Institute Working Paper No. 16-251, 2016

Mandatory Retirement and the Consumption Puzzle: Prices Decline or Quantities Decline?
Asian Bureau of Finance and Economic Research, 2015 Working Paper (December 2014).

Dong, Yingying. 2017. "Mandatory Retirement and the Consumption Puzzle: Disentangling Price and Quantity Declines." Economic Inquiry 55(4): 1738-1758. https://doi.org/10.1111/ecin.12456

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