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Health Capacity to Work at Older Ages: Evidence from Canada

Kevin Milligan, Tammy Schirle

Chapter in NBER book Social Security Programs and Retirement Around the World: The Capacity to Work at Older Ages (2017), David A. Wise, editor (p. 59 - 83)
Published in May 2017 by University of Chicago Press
© 2017 by the National Bureau of Economic Research
in NBER Book Series - International Social Security

We study the health-capacity to work among older workers in Canada. We estimate work capacity using two methods. The first uses age-specific mortality rates to proxy for overall health, comparing employment rates at similar levels of mortality. The second method uses a mix of health measures to estimate a health-employment relationship at ages 50 to 54, then uses these estimates to project the employment capacity of older workers. Our results suggest a substantial unused capacity for work among older Canadians.

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