Determinants of expectations of retirement: evidence from a less developed country

Abstract

This paper presents and tests a model of expectations of retirement, using data from a developing country. Using three stage least-squares, the expected amount of labour force participation at age 55 is shown to be positively related to current hours worked per week and to education. Current illness has little effect on quantity of employment at age 55. The effects of non-labour income sources are variable in sign and significance. The lack of significance is probably due to differences in the relevant time periods.