Impact of Public Pension on Labor Participation in China and Japan: Evidence
Based on Empirical Studies
3. Speaker: Xinxin Ma Graduated from Keio University, her major is labor economics, social security and economics of health care. She was an assistant professor in Kyoto University, an associate professor in the Institute of Economic Research, Hitotsubashi University. She is an associate professor in University of Toyama. She is also a research fellow of Kyoto University, visiting professor of Hitotsubashi university, a research fellow of Chuo University, a board member of the Japanese Association for Chinese Economy and Management Studies (JACEMS).
4. Abstract: Japan and China are experiencing rapid ageing of its population. To address the social and economic problems caused by the ageing population, Japanese and Chinese governments established a set of social security systems (e.g. public pension scheme) to provide security for the elderly. Does the public pension reduce the labor supply of older adults? Using the Chinese longitudinal survey data from CHNS from 2000 to 2011 and the Elderly Employment Status Survey (EESS) data from1980 to 2004 in Japan, this study investigates the impact of public pension on labor participation of elderly and compares the results between Japan and China. Based on the DID model for China and the imputed value method for Japan, the results indicate that public pension negatively affect the labor participation of older adults in both China and Japan. It suggests that to take the public pension reform to decrease the negative effect on labor supply has become an important issue for both Chinese and Japanese governments.