TY - JOUR T1 - Housing Wealth and Retirement Timing JF - Cesifo Economic Studies Y1 - 2016 A1 - Martin P. Farnham A1 - Purvi Sevak KW - Employment and Labor Force KW - Net Worth and Assets KW - Retirement Planning and Satisfaction AB - Labor-supply effects of changes in house value are potentially important but empirically neglected. Using the panel Health and Retirement Study merged to local house prices from the Federal Housing Finance Agency, we estimate the effect of house-price changes on actual and planned retirement timing. While we find no effect of house-price changes on the annual probability of retiring, we find that people respond to rising house prices by revising down their expected retirement age. We estimate that a 10 real increase in house value reduces expected retirement age by about 4 months. Our findings suggest that movements in the housing market may have important labor supply implications, especially in areas experiencing steep price declines. PB - 62 VL - 62 IS - 1 N1 - Times Cited: 0 0 U4 - retirement planning/labor Supply/House price fluctuations/labor Force Participation ER - TY - RPRT T1 - The Great Recession, Older Workers with Disabilities, and Implications for Retirement Security Y1 - 2012 A1 - Onur Altindag A1 - Lucie Schmidt A1 - Purvi Sevak KW - Disabilities KW - Employment and Labor Force KW - Health Conditions and Status KW - Public Policy KW - Retirement Planning and Satisfaction AB - Evidence suggests that older workers with disabilities have been hit particularly hard by the recent recession. The increased difficulty in finding a job faced by individuals with disabilities, combined with the longer spells of unemployment experienced by all workers in this recession, could mean that laid-off disabled workers in their pre-retirement years may never return to work. In this paper, we use data from the 2004-2010 waves of the Health and Retirement Study to examine how the great recession has affected workers with chronic health conditions that put them at greater risk of disability. Our results suggest that increases in job losses were 30 greater for those with greater underlying risk of disability than for the general HRS population, and decreases in consumption were 20 greater. These results have important implications for the well-being of disabled individuals nearing retirement. JF - MRDRC Working Paper PB - Michigan Retirement and Disability Research Center, University of Michigan CY - Ann Arbor, MI UR - http://hdl.handle.net/2027.42/95904 U4 - great Recession/labor Force Participation/Unemployment/disabled Persons/chronic conditions/DISABILITY/DISABILITY/Job Loss/retirement planning ER - TY - RPRT T1 - Macroeconomic Conditions and Updating of Expectations by Older Americans Y1 - 2011 A1 - Purvi Sevak A1 - Lucie Schmidt KW - Consumption and Savings KW - Employment and Labor Force KW - Expectations AB - Economic theory suggests that individual decisions about consumption, saving, and labor supply should be directly linked to subjective expectations about future events. This project uses panel data from the Health and Retirement Study from 1994-2008 merged to data on a number of local and high frequency macroeconomic indicators to estimate how individual expectations respond to fluctuations in the local and national macroeconomy. Our results suggest that individuals revise their expectations in response to both local and national macroeconomic fluctuations in ways that appear to make sense, and that this is stronger for respondents with higher levels of education. JF - Michigan Retirement Research Center Research Working Paper PB - The University of Michigan, Michigan Retirement Research Center CY - Ann Arbor, MI UR - https://mrdrc.isr.umich.edu/pubs/macroeconomic-conditions-and-updating-of-expectations-by-older-americans/ U4 - Consumption/savings/labor supply/subjective Expectations ER - TY - JOUR T1 - Taxes, Wages, and the Labor Supply of Older Americans JF - Research on Aging Y1 - 2009 A1 - Lucie Schmidt A1 - Purvi Sevak KW - Employment and Labor Force KW - Public Policy AB - The aging of the U.S. population, combined with an increasing probability that any given older individual will work, means that the importance of older workers to the labor force is rising. One possible solution to the solvency problems facing the Social Security System is increasing the labor supply of older workers. Understanding how policy levers can affect the labor supply of the elderly therefore has become increasingly important. In this paper we use data from the Health and Retirement Study (HRS), linked to state identifiers, to estimate the responsiveness of the labor supply of older workers to features of the tax code, on both the extensive margin of participation and the intensive margin of hours of work. This unique data set allows us to avoid some of the traditional pitfalls associated with the labor supply literature. We find evidence that the labor supply of older workers is responsive to the tax structure. Our results suggest that government policies could play a role in increasing the labor supply of individuals over the age of 65 by changing the returns to work through the tax code. PB - 31 VL - 31 IS - 2 U4 - Labor Supply/Older Workers/Public Policy/Tax Policy ER - TY - RPRT T1 - Housing Wealth and Retirement Timing Y1 - 2007 A1 - Martin P. Farnham A1 - Purvi Sevak KW - Housing KW - Retirement Planning and Satisfaction AB - We use data from the Health and Retirement Study (HRS) and the Office of Housing Enterprise Oversight to measure the effect of changes in housing wealth on retirement timing. Using cross-MSA variation in house-price movements to identify wealth effects on retirement timing, we find evidence that such wealth effects are present. According to some specifications the rate of transition into retirement increases in the presence of positive housing wealth shocks. In addition, we use data on expected age of retirement to measure the impact of housing wealth shocks on expectations about retirement timing. Using renters as a control for heterogeneity in local amenities and using individual fixed effects to control for unobserved individual heterogeneity, we find that a 10 increase in housing wealth is associated with a reduction in expected retirement age of between 3.5 and 5 months. PB - The University of Michigan, Michigan Retirement Research Center UR - https://deepblue.lib.umich.edu/handle/2027.42/57437 U4 - Housing Equity/Retirement planning ER - TY - RPRT T1 - How do Immigrants Fare in Retirement? Y1 - 2007 A1 - Purvi Sevak A1 - Lucie Schmidt KW - Demographics KW - Net Worth and Assets KW - Pensions KW - Social Security AB - Existing literature suggests that immigrants receive lower wages than U.S.-born workers with similar characteristics. This could imply that immigrant households would enter retirement at a significant financial disadvantage. In this paper, we examine the retirement resources available to immigrant families by examining Social Security benefits, pension coverage, and private wealth accumulation. Our results suggest that although immigrant families may be financially better-off in the U.S. than in their native countries, they do enter retirement at a significant financial disadvantage relative to native born households with similar characteristics. JF - University of Michigan Retirement Research Center Working Paper PB - Michigan Retirement Research Center, University of Michigan CY - Ann Arbor, MI UR - https://deepblue.lib.umich.edu/handle/2027.42/57433 U4 - Immigrants/Retirement Wealth/Social Security/Pensions ER - TY - RPRT T1 - The Responsiveness of Private Savings to Medicaid Long Term Care Policies Y1 - 2007 A1 - Purvi Sevak A1 - Walker, Lina KW - Consumption and Savings KW - Insurance KW - Medicare/Medicaid/Health Insurance AB - This paper examines the extent to which private savings responds to the availability of a social insurance program. We focus on the Medicaid nursing home assistance program and uses variation in state Medicaid policies in the 1960s and 1990s to identify whether household wealth correlates negatively with access to public insurance coverage. We use data from the 1962 and 1970 Survey of Consumer Finances and the 1992 through 2002 Health and Retirement Study. We find that household savings in 1970 was substantially lower in states with easier access to Medicaid assistance and that household savings in the 1990s was lower when access to the Medicaid program was lower. JF - Michigan Retirement and Disability Research Center Publication PB - Michigan Retirement and Disability Research Center, University of Michigan CY - Ann Arbor, MI UR - https://mrdrc.isr.umich.edu/pubs/the-responsiveness-of-private-savings-to-medicaid-long-term-care-policies/ U4 - Medicaid/insurance/Savings ER - TY - JOUR T1 - State Fiscal Institutions and Empty-Nest Migration: Are Tiebout voters hobbled? JF - Journal of Public Economics Y1 - 2006 A1 - Martin P. Farnham A1 - Purvi Sevak KW - Demographics KW - Methodology KW - Public Policy AB - Using the Health and Retirement Study and a national panel of local fiscal data, we test a lifecycle model of Tiebout sorting. On average, cross-state, empty-nest movers-presumed to be out of fiscal equilibrium-experience large fiscal gains in the form of reduced exposure to local school spending and property taxes, while local empty-nest movers experience no fiscal adjustment. We find evidence that within-state fiscal adjustment is constrained by state institutions that limit local discretion. Empty-nest households moving within states with school finance equalization do not engage in Tiebout-consistent fiscal adjustment, while those moving within states lacking school finance equalization adjust substantially. (c) 2005 Elsevier B.V. All rights reserved. PB - 90 VL - 90 IS - 3 N1 - Article English U4 - Tiebout hypothesis/taxation/migration/state and local government ER - TY - JOUR T1 - The Economic Consequences of a Husband's Death: Evidence from the HRS and AHEAD JF - Social Security Bulletin Y1 - 2004 A1 - Purvi Sevak A1 - David R Weir A1 - Robert J. Willis KW - Net Worth and Assets AB - This article examines the economic status of older widowed women in the 1990s using the Health and Retirement Study. Widowhood remains an important risk factor for transition into poverty, although somewhat less so than 20 years ago. Despite increased labor force participation rates among women and Employee Retirement Income Security Act (ERISA) reforms, widows live with lower household earnings, pension income, and wealth than do married women. Women widowed at younger ages are at greatest risk for economic hardship after widowhood and their situation declines with the duration of widowhood. We also find that women in households that are least prepared financially for widowhood are at greatest risk of husband's death, because of the strong relationship between mortality and wealth. PB - 65 VL - 65 UR - https://www.ssa.gov/policy/docs/ssb/v65n3/v65n3p31.html IS - 3 U4 - Widowhood/Economic Status ER - TY - RPRT T1 - Local Fiscal Policy and Retiree Migration: Evidence from the Health and Retirement Study Y1 - 2002 A1 - Martin P. Farnham A1 - Purvi Sevak KW - Demographics KW - Public Policy AB - We use the 1992 to 2000 waves of HRS and town-level fiscal data from the Census of Governments, to examine whether moves by households near retirement age are motivated by local fiscal policy. The data show some evidence that movers lower their fiscal burden. Households that move across states the first time after their children have reached adulthood reduce their property tax liability by an average of 115. However, there is a great deal of heterogeneity across different types of movers. It is clear that while fiscal policy may factor into the move decision, it is just one of many variables upon which location choice by retirees is based. PB - New York, NY, Hunter College, Department of Economics UR - https://www.semanticscholar.org/paper/Local-Fiscal-Policy-and-Retiree-Migration%3A-Evidence-Sevak-Farnham/ebf2c480185472977aeee511218772368f58fbce N1 - RDA U4 - Migration/fiscal policy/fiscal policy ER - TY - THES T1 - Wealth Shocks and Retirement Timing and Other Essays Y1 - 2002 A1 - Purvi Sevak KW - Demographics KW - Net Worth and Assets KW - Public Policy KW - Retirement Planning and Satisfaction AB - This dissertation contains essays on two groups of individuals whose economic well being and behavior have received considerable attention in recent years: retirees and single mothers at risk of welfare receipt. Chapter 1 “Wealth Shocks and Retirement Timing: Evidence from the Nineties,” uses the 1992 to 1998 waves of the Health and Retirement Study (HRS) to find that exogenous increases in wealth lead to earlier retirement. Panel data on wealth and saving are used to estimate an elasticity of retirement flows between 1996 and 1998 with respect to wealth of 0.39 and 0.50 for men. Difference-in-differences regressions of retirement rates of individuals whose pension wealth depends on the stock market—individuals with defined contribution (DC) plans, to those whose pension wealth is not directly affected by the market—individuals with defined benefit (DB) pension plans, are also estimated. Consistent with wealth effects, significant increases in retirement rates are found among workers with DC plans. Chapter 2, “Local Fiscal Policy And Retiree Migration,” uses the 1992 to 2000 waves of HRS and town-level fiscal data from the Census of Governments, to examine whether moves by households near retirement age are motivated by local fiscal policy. The data show some evidence that movers lower their fiscal burden. Households that move across states the first time after their children have reached adulthood reduce their property tax liability by an average of $115. However, there is a great deal of heterogeneity across different types of movers. It is clear that while fiscal policy may factor into the move decision, it is just one of many variables upon which location choice by retirees is based. Chapter 3, “AFDC, SSI, And Welfare Reform Aggressiveness: Caseload Reductions Vs. Caseload Shifting,” uses pooled cross-sectional data from the 1986 to 1996 Current Population Survey (CPS) to examine whether reforms to the AFDC program that have made receipt of cash benefits more difficult for single mothers affected caseloads of the SSI program. Variation in state welfare reform over time shows that female-headed households in states pursuing welfare reform were 21.6 percent more likely to receive SSI. PB - University of Michigan UR - https://proxy.lib.umich.edu/login?url=https://search-proquest-com.proxy.lib.umich.edu/docview/56131715?accountid=14667 U4 - Wealth (D914100) JO - Wealth Shocks and Retirement Timing and Other Essays ER - TY - RPRT T1 - Wealth Shocks and Retirement Timing: Evidence from the Nineties Y1 - 2002 A1 - Purvi Sevak KW - Net Worth and Assets KW - Retirement Planning and Satisfaction AB - This paper explores whether the timing of retirement responds to unexpected changes in wealth. The period of the 1990s allows a unique examination of this question because of the large and unexpected capital gains realized by many households. Using the 1992 through 1998 waves of the Health and Retirement Study, and two different identification strategies, I find evidence consistent with the theoretical expectations of wealth effects for men. Using panel data on savings and wealth I estimate the elasticity of observed retirement flows between 1996 and 1998 with respect to wealth is between 0.39 and 0.50 for men. JF - Michigan Retirement Research Center Research Working Paper PB - University of Michigan CY - Ann Arbor, MI UR - https://deepblue.lib.umich.edu/bitstream/handle/2027.42/50593/wp027.pdf?sequence=1&isAllowed=y N1 - Paper based on Chapter 1 of Purvi Sevak's Dissertation U4 - Capital/Wealth Accumulation/Retirement ER -