Trainee
PhD, Economics, Jönköpings University
alireza.khoshghadam@ju.se
Alireza Khoshghadam
As a Ph.D. student, I am interested in studying the individual’s decision to re-enter the labor market after their full retirement (unretirement) and the main reasons behind retirees’ decision to resume work. I am using Swedish administrative data for individuals aged 60 and older to study the incidence of unretirement. I am particularly interested in two institutional factors that may influence the probability to unretire. First, I plan to analyze the effect of the income tax credit towards the elderly on unretirement. Second, I plan to examine whether retirees’ choice of pension payout period affects the probability of unretirement. In Swedish second pillar pension plans, fixed-term payouts have become increasingly popular (the alternative is a lifelong payment). Some of these retirees may mistakenly believe they have chosen a life annuity and returning to the labor market may be one way to tackle the income shortfalls resulting from the 5-year payout ceasing. Other factors that may influence unretirement are health shocks, such as the unexpected death of a spouse. Theoretically, returning to work may result from a deliberate thought process or the result of new information or unexpected events, such as the death of a spouse. I intend to elaborate on these mechanisms and look for empirical support.