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The age pattern of retirement: Comparisons of longitudinal, pseudo-cohort, and period measures

Author(s): Frank T. Denton | Ross Finnie | Byron G. Spencer

Journal: Canadian Studies in Population
ISSN 0380-1489

Volume: 40;
Issue: 3-4;
Start page: 193;
Date: 2013;
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Keywords: Retirement patterns | longitudinal measures of retirement | pseudo-cohort measures of retirement | age-retirement patterns

Retirement patterns change. When that happens, measures based on single-period cross-sectional data may provide a misleading picture of cohort retirement behaviour. We offer two cohort-based measures. One draws on income tax records to follow actual cohorts of individuals over time, the other on a time-series of cross-sectional surveys. We find that the retirement patterns based on the two approaches are similar but differ, often substantially, from single-period patterns. While pseudo-cohort measures can be assessed more quickly and at lower cost, knowledge of differences across income groups, income replacement rates, and so on, must rely on full longitudinal records.

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