ABSTRACT
Retirement is influenced by economic well-being and health status, labor market opportunities, retirement programs, and social norms. Social security programs significantly alter the retirement rates of older men. The labor force participation rate for men aged 65 and older is 1.3 percentage points lower for every additional 10 years that a country has had a social security law in effect. The social security retirement age variables provide mixed evidence concerning the effect of earlier ages of eligibility on retirement rates. The relationship between economic development and retirement ages differs according to the level of per capita income. Older more, mature social security systems are associated with lower retirement ages and the use of a provident fund tends to lower participation rates. The findings should also be beneficial to developing countries as they attempt to provide retirement income for emerging older populations in the presence of rapidly growing younger populations.
