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A Nudge to Quit? The Effect of a Change in Pension Information on Annuitisation, Labour Supply and Retirement Choices Among Older Workers
Stockholm University, Faculty of Social Sciences, The Swedish Institute for Social Research (SOFI).
Number of Authors: 32022 (English)In: Economic Journal, ISSN 0013-0133, E-ISSN 1468-0297, Vol. 132, no 643, p. 1060-1094Article in journal (Refereed) Published
Abstract [en]

We study the effects of two exogenous modifications in the Swedish pension system application form nudging individuals towards a fixed-term payout. Meanwhile, the set of available options and the default option—life annuity—were unchanged during the period under study. We examine the effects on individuals’ payout decisions and the spillover effects on labour supply and other pensions using a difference-in-difference framework and detailed administrative data on actual payout decisions and a wide range of individual-level outcomes. Each modification increased the demand for the nudged payout by around 30 percentage points. The first modification also induced individuals to work less.

Place, publisher, year, edition, pages
2022. Vol. 132, no 643, p. 1060-1094
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:su:diva-207326DOI: 10.1093/ej/ueab060ISI: 000804590100008OAI: oai:DiVA.org:su-207326DiVA, id: diva2:1683407
Available from: 2022-07-15 Created: 2022-07-15 Last updated: 2022-07-15Bibliographically approved

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Sjögren Lindquist, Gabriella

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