Retirement Pathways' Effect on Physical and Mental Health: Evidence from Japan

Area of Science:

• Gerontology
• Public Health
• Sociology

Background:

• Understanding the health implications of different retirement transitions is crucial for aging populations.
• Rigorous causal analysis comparing abrupt versus gradual retirement pathways is limited.

Purpose of the Study:

• To investigate the distinct health effects of abrupt versus gradual retirement transitions.
• To employ causal inference methods to analyze retirement pathways and health outcomes.

Main Methods:

• Utilized data from 10,253 Japanese adults aged 50+ (2005-2019 Longitudinal Survey of Middle-aged and Older Adults).
• Employed an instrumental variable approach, using public pension eligibility age as an instrument for retirement pathway analysis.

Main Results:

• Abrupt retirement was associated with higher likelihood of physical limitation and lower likelihood of depression compared to non-retired individuals.
• Gradual retirement was linked to a lower likelihood of physical limitation and a higher likelihood of depression compared to non-retired individuals.

Conclusions:

• Retirement pathways differentially affect physical and mental health outcomes.
• Findings have significant implications for developing effective labor and health policies in societies with aging demographics.