Abstract
This paper focuses on the effects of selected Italian welfare instruments, such as the seniority pensions and the early retirement pensions. The main instruments of the Italian welfare state are described, distinguishing between assistance and insurance transfers. With a cluster analysis, the distribution of specific welfare instruments among Italian regions is thoroughly investigated and then the link between retirement decisions and the selected welfare instruments is assessed. T h e main hypothesis under investigation is that the relatively easy access to various social transfer programs enabled certain categories of older workers to withdraw from the labor market. In this framework, Italian public pensions played a prominent role in the transfer programs becoming the improper device used by the Italian government to cope with unemployment problems.
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