Cremer, Helmuth; Lozachmeur, Jean-Marie; Pestieau, Pierre - C.E.P.R. Discussion Papers - 2006
This paper studies the design of retirement and disability policies. It illustrates the often observed exit from the … social welfare. Benefits depend on retirement age and on the (reported) health status. We determine first- and second …-best optimal benefit levels and retirement ages and focus on the distortions which may be induced in the individuals’ retirement …