Pension rules in Spain push low earners to retire early.
The study looked at how pension rules in Spain affect when people choose to retire. They found that people with low wages are encouraged to retire early because of penalties and minimum pension amounts. On the other hand, those with high wages have incentives to retire later, even if they could retire early. The researchers also examined why a past pension reform in 1997 didn't work well in making the Spanish pension system more sustainable.