Can I live with you after I retire? Retirement, old age support, and internal migration of older adults in China

Simiao Chen, Zhangfeng Jin, Klaus Prettner

Publication: Working/Discussion PaperWU Working Paper

110 Downloads (Pure)

Abstract

This study examines the causal impact of retirement on migration decisions. Using a regression discontinuity (RD) design approach, combined with a nationally representative sample of 228,855 Chinese older adults, we find that retirement increases the probability of migration by 12.9 p.p. (an 80% increase in migration). Approximately 38% of the total migration effects can be attributed to inter-temporal substitution. Retirement-induced migrants are lower-educated, have restricted access to social security, and come from origins with high living costs. Relying on old age support from adult children in migration is a likely mechanism. These findings are consistent with a simple theoretical model of migration for older adults.
Original languageEnglish
Number of pages54
DOIs
Publication statusPublished - 2020

Publication series

SeriesDepartment of Economics Working Paper Series
Number303

WU Working Paper Series

  • Department of Economics Working Paper Series

Cite this