Does Working Longer Enhance Old Age?

Abstract

Abstract Understanding the link between retirement and health is crucial for both improving people’s well-being and for designing optimal public policy around retirement. Yet, to date, the economics literature has been inconclusive about whether retirement causes improvements or deterioration in health. The lack of consensus is likely driven by differences in study design, population, the age of workers, and the set of health outcomes studied. In this chapter, I explain and distill the literature, highlight patterns in the highest quality studies, and discuss the implications of the findings for longevity risk management and worker and retiree health going forward.