Larger Birth Cohort Lowers Wages

May 17, 2017
Larger Birth Cohort Lowers Wages Pixabay

The reduction in wages resulting from the increase in older workers provides a cautionary note to those advocating delayed retirement as a solution to the retirement savings crisis.

Labor market crowding caused by Boomers delaying retirement will continue to reduce their wages in old age relative to what would have happened had their share of the labor force declined at the same rate as prior generations.

Author: Teresa Ghilarducci, Michael Papadopoulos, and Tony Webb
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