Retirement incentives, individual heterogeneity and labour transitions of employed and unemployed workers

In this paper we analyze the sensitivity of the labour market decisions of workers close to retirement with respect to the incentives created by public regulations. We improve upon the extensive prior literature on the effect of pension incentives on retirement in two ways. First, by modeling the transitions between employment, unemployment and retirement in a simultaneous manner, paying special attention to the transition from unemployment to retirement (which is particularly important in Spain). Second, by considering the influence of unobserved heterogeneity in the estimation of the effect of our (carefully constructed) incentive variables. Using administrative data, we find that, when properly defined, economic incentives have a strong impact on labour market decisions in Spain. Unemployment regulations are shown to be particularly influential for retirement behaviour, along with the more traditional determinants linked to the pension system. Pension variables also have a major bearing on both workers’ reemployment decisions and on the strategic actions of employers. The quantitative impact of the incentives, however, is greatly affected by the existence of unobserved heterogeneity among workers. Its omission leads to sizable biases in the assessment of the sensitivity to economic incentives, a finding that has clear consequences for the credibility of any model-based policy analysis. We confirm the importance of this potential problem in one especially interesting instance: the reform of early retirement provisions undertaken in Spain in 2002. We use a difference-in-difference approach to measure the behavioural reaction to this change, finding a large overestimation when unobserved heterogeneity is not taken into account.Retirement, unemployment, incentives, Pension system, Unobserved, heterogeneity, Spain.

Social Security and the search behaviour of workers approaching retirement

This paper explores the links between unemployment, retirement and their associated public insurance programs. It is a contribution to a growing body of literature focused on a better understanding of the labor behavior of advanced-age workers, which has gained importance as the pension crisis looms. It also contributes to the literature of optimal unemployment insurance by exploring the interaction of unemployment benefits and retirement pensions. The analysis combines the development of a new theoretical model and a detailed exploration of the empirical regularities using the Spanish Muestra Continua de Vidas Laborales (MCVL) dataset. The model is an extension of the standard search model, designed to reproduce the non-stationary environment faced by workers of advanced ages (in the age range 50/65). Via calibrated simulations we show that the basic empirical re-employment and retirement patterns can be considered as rational responses to both the labor market conditions and the institutional incentives. Generous Unemployment Benefits (for durations of up to two years) together with very significant early retirement penalties, make optimal to stay unemployed without searching for large groups of unemployed workers. This moral hazard problem can be substantially alleviated through institutional reform. We explore several potential reforms and find that changing the details of early retirement pensions seems more promising than changing the Unemployment Benefit system.Unemployment, Retirement, Search models

Key Production Parameters to Obtain Transparent Nanocellular PMMA

Transparent nanocellular polymethylmethacrylate (PMMA) with relative density around 0.4 is produced for the first time by using the gas dissolution foaming technique. The processing conditions and the typical characteristics of the cellular structure needed to manufacture this novel material are discovered. It is proved that low saturation temperatures (−32 °C) combined with high saturation pressures (6, 10, 20 MPa) allow increasing the solubility of PMMA up to values not reached before. In particular, the highest CO2 uptake ever reported for PMMA, (i.e., 48 wt%) is found for a saturation pressure of 20 MPa and a saturation temperature of −32 °C. Due to these processing conditions, cell nucleation densities of 1016 nuclei cm−3 and cell sizes clearly below 50 nm are achieved. The nanocellular polymers obtained, with cell sizes ten times smaller than the wavelength of visible light and very homogeneous cellular structures, show a significant transparency

The effects of employment uncertainty and wealth shocks on the labor supply and claiming behavior of older American workers

Unemployment rates in developed countries have recently reached levels not seen in a generation, and workers of all ages are facing increasing probabilities of losing their jobs and considerable losses in accumulated assets. These events likely increase the reliance that most older workers will have on public social insurance programs, exactly at a time that public finances are suffering from a large drop in contributions. Our paper explicitly accounts for employment uncertainty and unexpected wealth shocks, something that has been relatively overlooked in the literature, but that has grown in importance in recent years. Using administrative and household level data we empirically characterize a life-cycle model of retirement and claiming decisions in terms of the employment, wage, health, and mortality uncertainty faced by individuals. Our benchmark model explains with great accuracy the strikingly high proportion of individuals who claim benefits exactly at the Early Retirement Age, while still explaining the increased claiming hazard at the Normal Retirement Age. We also discuss some policy experiments and their interplay with employment uncertainty. Additionally, we analyze the effects of negative wealth shocks on the labor supply and claiming decisions of older Americans. Our results can explain why early claiming has remained very high in the last years even as the early retirement penalties have increased substantially compared with previous periods, and why labor force participation has remained quite high for older workers even in the midst of the worse employment crisis in decades.employment uncertainty, wealth shocks, retirement, labor supply, life-cycle models

Overcoming the Challenge of Producing Large and Flat Nanocellular Polymers: A Study with PMMA

Although nanocellular polymers are interesting materials with improved properties in comparison with conventional or microcellular polymers, the production of large and flat parts of those materials is still challenging. Herein, gas dissolution foaming process is used to produce large and flat nanocellular polymethylmethacrylate samples. In order to do that, the foaming step is performed in a hot press. The methodology is optimized to produce flat samples with dimensions of 100 × 100 × 6 mm3, relative densities in the range 0.25–0.55 and cell sizes around 250 nm. Additionally, foaming parameters are modified to study their influence on the final cellular structure, and the materials produced in this paper are compared with samples produced by using a most conventional approach in which foaming step is conducted in a thermal bath. Results obtained show that an increment in the foaming temperature leads to a reduction in relative density and an increase of cell nucleation density. Moreover, differences in the final cellular structure for materials produced by both foaming routes are studied, proving that although there exist some differences, the mechanisms governing the nucleation and growing are the same in both processes, leading to the production of homogeneous materials with very similar cellular structures

Petrological Study as a Tool to Evaluate the Degradation of Speleothems in Touristic Caves, Castafiar de Ibor Cave, Caceres, Spain

In Castafiar cave the surface of most of the speleothems present dissolution and corrosion features. In touristic caves, this process has usually been related to the acidification of the atmospheric moisture caused by C02 from the breath of visitors. However, in Castafiar cave the process of corrosion has been also observed in rooms that are not visited by tourists. Petrological studies were carried out in the speleothems affected by surface corrosion in Castafiar cave. The results indicate that this process occurs not only at present time, but over a period of thousands of years, as evidenced by the presence of corrosion lines inside and on the surface of the speleothems. All this and the fact that Castafiar cave recovers very quickly from changes in the environmental parameters, indicates that the dissolution-corrosion process is slow and hence it is not related to the presence of visitors

Alteration mechanisms on the stones of the Cathedral of Granada (Spain)

Español: Se analizan los diversos mecanismos de alteración que actúan sobre los materiales pétreos usados en la Catedral de Granada. Se estudia con detalle la acción del agua, influencia antropogénica, oscilaciones térmicas, factores de incompatibilidad, movimientos sísmicos y factores de tipo biológico. Inglés: Alteration mechanisms on the stones of the Catedral of Granada, Spai

Micritización de espeleotemas en ambiente meteórico vadoso (Cueva de Castañar de Ibor, Cáceres)

The aragonite and calcite speleothems of the Castañar de Ibor Cave show white and matt coatings that formed by micritization and dissolution of the initial crystals. These processes are also recognised in the inner part of the speleothems. Either in the inner or outher parts the result is the lost of brightness and transparency of the speleothems. Petrographically these coatings are seen as lines of micrite liked to dissolution processes that probably occurred because of the circulation of undersaturated fluids within the cave. At the moment no organic structures have been recognised in relation to the micritizated areas, indicating very probably that the process was inorganically driven

La cueva está viva y es un laboratorio natural

Peer reviewe

Georreferenciando la corrupción urbanística en España

Se plantea que, en el vertiginoso incremento de la actividad urbanística acaecida en España a lo largo de la última década, el papel de la propiedad del suelo sigue teniendo un protagonismo clave en la vida económica de nuestro país. Lo inmobiliario o, en un sentido más amplio, lo urbano -pues hay que añadir las infraestructuras- se materializa sobre el soporte suelo. Pero este soporte, esta base se encuentra dividida, fragmentada por la propiedad privada, la cual, a través de una serie de hechos administrativos (planeamiento) persigue su reclasificación (de rústico a urbano), permitiendo a sus titulares la obtención de rentas millonarias. Y es en este marco en el que se fragua la llamada “corrupción urbanística”, que muestra, con claridad meridiana, la subordinación de la política a los intereses de ciertos grupos económicos (propietarios de suelo, constructores y promotores inmobiliarios). Planteado el problema, se emprendió un amplio estudio que, partiendo del análisis de las fuentes periodísticas y estadísticas oficiales (censos de población y viviendas para los años 1991, 2001 y estimaciones para 2008) y de su tratamiento en bases de datos y Sistemas de Información Geográfica (ArcGis 9.2), ha dado como resultado una variada cartografía a diferentes niveles (municipal, provincial y de comunidades autónomas) del llamado “urbanismo irregular” en España en el período 2000-2010.The last decade witnessed an increase in the urban development activity in Spain. Land ownership has played a crucial role within it. Real state processes take place (materialize) around the element of soil, but the soil turns out to be fragmented by private property. And the latter, through administrative mechanisms, pursues its relabeling from “rural” to “urban”. As a result, big owners of land obtain millionaire incomes. In this context, the so-called “urban development corruption” appears: the subordination of politics to the interests of a number of economic groups (land owners, builders and real estate promoters). A thorough study has been undertaken, which analyzed journalistic sources and official statistics. They were later introduced into a database and a Geographic Information system (Arc gis 9.2). This has yielded a cartography of “irregular urbanism” at different scales (municipal, provincial and autonomous communities) in the period from 2000 to 2010