The objective of this project is to study the effect of early retirement on the healthcare expenditures of seniors. To correct for the endogeneity of the early retirement decision, we instrument this variable with the eligibility criteria for the "Retraite Anticipée pour Carrières Longues" (RACL) program, created in 2004, which allowed a category of individuals to retire before the legal retirement age. We will adopt a fuzzy regression discontinuity method, using the minimum number of validated quarters at the age of 17 required to be eligible for the program as threshold.
Data from the HYGIE database are available from 2005, one year after the introduction of the RACL program. Therefore, we can compare the healthcare expenditure trajectories for the cohort born in 1945, between those who retired at 59 and those who retired at 60 over a period of 7 years. We will conduct a dynamic study of the effect of an additional year spent in retirement on healthcare expenses over time.
