TY - JOUR
T1 - Wage subsidies and the labor supply of older people
T2 - Evidence from Singapore's workfare income supplement scheme
AU - Freire, Tiago
N1 - Publisher Copyright:
© 2018 World Scientific Publishing Company.
PY - 2018/12/1
Y1 - 2018/12/1
N2 - An increasing body of literature considers population aging and labor markets, focusing on the dynamics of older workers' labor market participation. Singapore introduced the Workfare Income Supplement (WIS) scheme in 2007, targeting low-income, older workers. Previous studies show that labor force participation drops significantly after the age of 45. We examine whether a wage subsidy program can increase the labor supply of these older workers. Using Hong Kong as a control group in a difference-in-difference-in-difference approach, we find that this program increased labor force participation for women aged 60-64 by 3.1-5.5% points, but had no statistically significant impact on the labor supply of men.
AB - An increasing body of literature considers population aging and labor markets, focusing on the dynamics of older workers' labor market participation. Singapore introduced the Workfare Income Supplement (WIS) scheme in 2007, targeting low-income, older workers. Previous studies show that labor force participation drops significantly after the age of 45. We examine whether a wage subsidy program can increase the labor supply of these older workers. Using Hong Kong as a control group in a difference-in-difference-in-difference approach, we find that this program increased labor force participation for women aged 60-64 by 3.1-5.5% points, but had no statistically significant impact on the labor supply of men.
KW - Labor supply
KW - Singapore
KW - quasi-natural experiment
KW - wage subsidy
UR - http://www.scopus.com/inward/record.url?scp=84944755019&partnerID=8YFLogxK
U2 - 10.1142/S0217590815500964
DO - 10.1142/S0217590815500964
M3 - Article
AN - SCOPUS:84944755019
SN - 0217-5908
VL - 63
SP - 1101
EP - 1139
JO - Singapore Economic Review
JF - Singapore Economic Review
IS - 5
ER -