, Volume 50, Issue 1, pp 181–206 | Cite as

The Association Between Individual Income and Remaining Life Expectancy at the Age of 65 in the Netherlands

  • Adriaan S. KalwijEmail author
  • Rob J. M. Alessie
  • Marike G. Knoef


This article quantifies the association between individual income and remaining life expectancy at the statutory retirement age (65) in the Netherlands. For this purpose, we estimate a mortality risk model using a large administrative data set that covers the 1996–2007 period. Besides age and marital status, the model includes as covariates individual and spouse’s income as well as a random individual specific effect. It thus allows for dynamic selection based on both observed and unobserved characteristics. We find that conditional on marital status, individual income is about equally strong and negatively associated with mortality risk for men and women and that spouse’s income is only weakly associated with mortality risk for women. For both men and women, we quantify remaining life expectancy at age 65 for low-income individuals as approximately 2.5 years less than that for high-income individuals.


Panel data Dynamic selection Mortality risk Income 



Financial support from Stichting Instituut GAK (through Netspar) is gratefully acknowledged. We wish to thank Margherita Borella, Koen Caminada, Katherine Carman, Stefan Hochguertel, Arie Kapteyn, Pierre Carl Michaud, seminar participants at the Utrecht School of Economics, the Center for Research on Pensions and Welfare policies in Turin (CeRP’s 10th anniversary conference), University of Padova, the Netspar workshop “Labour Force Participation and Well-being of the 50+ Population” (September 2009), the European Society for Population Economics Conference 2010, the Econometric Society World Congress 2010, and two anonymous referees for valuable comments and discussions.


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Copyright information

© Population Association of America 2012

Authors and Affiliations

  • Adriaan S. Kalwij
    • 1
    • 2
    Email author
  • Rob J. M. Alessie
    • 3
  • Marike G. Knoef
    • 4
    • 5
  1. 1.Utrecht University School of EconomicsUtrechtthe Netherlands
  2. 2.Network for Studies on Pensions, Aging and Retirement (Netspar)Tilburg UniversityTilburgthe Netherlands
  3. 3.Network for Studies on Pensions, Aging and Retirement (Netspar)University of GroningenGroningenthe Netherlands
  4. 4.Network for Studies on Pensions, Aging and Retirement (Netspar)Leiden UniversityLeidenthe Netherlands
  5. 5.CentERdataTilburgthe Netherlands

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