Disability Retirement among German Men in the 1980s

In Germany, a large proportion of new retirees--at times, more than half of them--have taken disability retirement. This study investigates the role of expected benefits in determining that choice. The author finds that among German men in 1984-91, age, health, and prior wages were much stronger predictors of the transition into disability retirement than were expected benefits. She concludes that a benefit reduction would be largely ineffective in reducing the high level of disability retirement in Germany.