Economic Policy Reforms 2005
Going for Growth
A chapter presenting key structural policy indicators (including labour costs and taxation, unemployment and disability benefits, product market regulation, trade barriers, educational attainment and public investment) is followed by a comprehensive Country Notes chapter, consisting of individual analytical sections for each member country and the European Union.
Each issue of Economic Policy Reforms: Going for Growth will also present several in-depth thematic studies. The topics covered in this first issue are: product market regulation, retirement effects of old-age pension and early retirement schemes, female labour force participation and the long-term budgetary implications of tax-favoured retirement saving plans.
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The Retirement Effect of Old-age Pension and Early Retirement Schemes in OECD Countries
OECD research summarised in this Chapter demonstrates that public pension systems and other social transfer programmes (such as unemployment, disability or special early retirement benefit systems) embody significant early retirement incentives. New empirical evidence shows that these schemes have played a major role in depressing employment at older ages, most prominently in a number of continental European countries where the work disincentives are particularly large. Therefore, a removal of early retirement incentives could raise effective retirement ages appreciably. For instance, labour force participation rates of older workers could be increased by over 15 percentage points in most continental European countries.
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