Hostname: page-component-78c5997874-j824f Total loading time: 0 Render date: 2024-11-11T04:23:21.815Z Has data issue: false hasContentIssue false
  • English
  • Français

How the lifecycle hypothesis explains volunteering during retirement

Published online by Cambridge University Press:  14 November 2011

ARIE SHERMAN  and
TAL SHAVIT
ARIE SHERMAN
Affiliation:
School of Economics and Business Administration, Ruppin Academic Center, Israel.
TAL SHAVIT*
Affiliation:
The School of Business Administration, The College of Management, Israel.
*
Address for correspondence: Tal Shavit, Head of Department of Finance, The School of Business Administration, The College of Management, 7 Rabin Ave., Rishon-Le'Zion, Israel. E-mail: shavittal@gmail.com
Get access Rights & Permissions [Opens in a new window]

Abstract

We suggest two supplements to Franco Modigliani's lifecycle model in order to explain why people who have retired from paid work choose either to start volunteering or increase the amount of time they devote to volunteer work. First, total consumption consists of both the material and immaterial products of work. While people can save their income in order to maintain an even level of material consumption, they unable to save a portion of the immaterial product. Second, at the statutory retirement age people retire only from paid work. We argue that older people substitute paid work for volunteering due to their inherent need to maintain immaterial consumption during retirement.

Keywords

lifecyclevolunteeringconsumptionretirementimmaterial
Type
Articles
Information
Ageing & Society , Volume 32 , Issue 8 , November 2012 , pp. 1360 - 1381
Copyright
Copyright © Cambridge University Press 2011

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Ajzen, I. 1991. The theory of planned behaviour. Organizational Behavior and Human Decision Processes, 50, 2, 179–211.CrossRefGoogle Scholar
Ajzen, I. and Fishbein, M. 1980. Understanding Attitudes and Predicting Social Behaviour. Prentice Hall, Englewood Cliffs, New Jersey.Google Scholar
Applebaum, H. 1992. The Concept of Work – Ancient, Medieval, and Modern. State University of New York Press, Albany, New York.Google Scholar
Australian Bureau of Statistics 2006. Voluntary Work, Australia. Australian Bureau of Statistics, Canberra.Google Scholar
Avramov, D. and Maskova, M. 2003. Active Ageing in Europe. Council of Europe Publishing, Strasbourg, France.Google Scholar
Benz, M. 2005. Not for the profit, but for the satisfaction? Evidence on worker-well-being in non-profit firms. Kyklos, 58, 2, 155–76.Google Scholar
Bureau of Labor Statistics 2009. Volunteering in the United States, 2009. United States Department of Labor, Washington DC.Google Scholar
Burr, J. A., Choi, N., Mutchler, J. E. and Caro, F. G. 2005. Caregiving and volunteering: are private and public helping behaviors linked? Journals of Gerontology: Social Sciences, 60B, 5, S247–56.Google Scholar
Burr, J. A., Mutchler, J. E. and Caro, F. G. 2007. Productive activity clusters among middle-aged and older adults: intersecting forms and time commitments. Journals of Gerontology: Social Sciences, 62B, 4, S267–75.Google Scholar
Butricia, B. A., Johnson, R. W. and Zedlewski, S. R. 2009. Volunteer dynamics of older Americans. Journals of Gerontology: Social Sciences, 64B, 5, 644–55.CrossRefGoogle Scholar
Caro, F. G. and Bass, S. A. 1995. Dimensions of productive engagement. In Bass, S. A. (ed.), Older and Active. Yale University Press, New Haven, Connecticut, 204–16.Google Scholar
Caro, F. G. and Bass, S. A. 1997. Receptivity to volunteering in the immediate postretirement period. Journal of Applied Gerontology, 16, 4, 427–41.CrossRefGoogle Scholar
Chambre, S. M. 1984. Is volunteering a substitute for role loss in old age? An empirical test of activity theory. The Gerontologist, 24, 3, 292–8.Google Scholar
Chambre, S. M. 1987. Good Deeds in Old Age: Volunteering by the New Leisure Class. Lexington Books, Lexington, Massachusetts.Google Scholar
Chambre, S. M. and Einolf, C. 2008. Is volunteering work, prosocial behaviour, or leisure? Working Paper Series, Center for Non-profit Strategy and Management, School of Public Affairs, City University of New York, New York.Google Scholar
Choi, L. H. 2003. Factors affecting volunteerism among older adults. Journal of Applied Gerontology, 22, 2, 179–96.Google Scholar
Citizenship Survey 2008–09. Volunteering and Charitable Giving Topic Report. Available online at http://www.communities.gov.uk/publications/corporate/statistics/citizenshipsurvey200809volunteer.Google Scholar
Clark, A. E., Georgellis, Y. and Sanfey, P. 2001. Scarring: the psychological impact of past unemployment. Economica, 68, 278, 221–41.CrossRefGoogle Scholar
Clark, A. E. and Oswald, A. J. 1994. Unhappiness and unemployment. Economic Journal, 104, 424, 648–59.Google Scholar
Clary, E. G. and Snyder, M. 1991. A functional analysis of altruism and prosocial behaviour: the case of volunteerism. In Clark, M. S. (ed.), Prosocial Behaviour. Sage, Newbury Park, California, 119–48.Google Scholar
Darity, W. Jr and Goldsmith, A. H. 1996. Social psychology, unemployment and macro-economics. Journal of Economic Perspectives, 10, 1, 121–40.Google Scholar
Davis Smith, J. 1992. Volunteering: widening horizons in the third age. Carnegie Inquiry into the Third Age Research Paper No. 7, Carnegie Institute, Dunfermline, U.K.Google Scholar
de Man, H. 1929. Joy in Work, H. Holt, New York.Google Scholar
Di Tella, R., MacCulloch, R. and Oswald, A. 2001. Preferences over inflation and unemployment: evidence from surveys of happiness. American Economic Review, 91, 1, 335–41.CrossRefGoogle Scholar
Di Tella, R., MacCulloch, R. and Oswald, A. 2003. The macroeconomics of happiness. Review of Economics and Statistics, 85, 4, 809–27.CrossRefGoogle Scholar
Erikson, E. H. 1959. Identity and the life cycle. Psychological Issues, 1, 50–100.Google Scholar
Erlinghagen, M. and Hank, K. 2006. The participation of older Europeans in volunteer work. Ageing & Society, 26, 4, 567–84.Google Scholar
Freeman, R. B. 1997. Working for nothing: the supply of volunteer labor. Journal of Labor Economics, 151, 2, S140–66.Google Scholar
Frey, B. S. 1997. Not Just for the Money: An Economic Theory of Personal Motivation. Elgar Publications, Cheltenham, UK.Google Scholar
Frey, B. S. 2008. Happiness: A Revolution in Economics. The MIT Press, Cambridge, Massachusetts.Google Scholar
Frey, B. S. and Stutzer, A. 2002 a. What can economists learn from happiness research? Journal of Economic Literature, 40, 2, 402–35.Google Scholar
Frey, B. S. and Stutzer, A. 2002 b. Happiness and Economics: How the Economy and Institutions Affect Well-being. Princeton University Press, Princeton, New Jersey.CrossRefGoogle Scholar
Gallagher, S. 1994. Older People Giving Care: Helping Family and Community. Auburn House Westport, Connecticut.Google Scholar
Giving USA. 2010. Giving USA. The Center on Philanthropy at Indiana University, Indianapolis.Google Scholar
Glass, T. A., Seeman, T. E., Herzog, A. R., Kahn, R. and Berkman, L. F. 1995. Change in productive activity in late adulthood: MacArthur studies of successful aging. Journals of Gerontology: Psychological Sciences and Social Sciences, 50B, 2, S65–76.CrossRefGoogle Scholar
Haber, C. 1978. Mandatory retirement in nineteenth-century: the conceptual basis for a new work cycle. Journal of Social History, 12, 1, 77–96.Google Scholar
Hackel, F., Halla, M. and Pruckner, G. J. 2007. Volunteering and income – the fallacy of the good Samaritan? Kyklos, 60, 1, 77–104.Google Scholar
Hardill, I. and Baines, S. 2009. Active citizenship in later life: older volunteers in a deprived community in England. The Professional Geographer, 61, 1, 36–45.Google Scholar
Heilbroner, R. L. 1985. The Act of Work. Library of Congress, Washington DC.Google Scholar
Herzog, A. R., Kahn, R. L., Morgan, J. N., Jackson, J. S. and Antonucci, T. C. 1989. Age differences in productive activities. Journals of Gerontology: Social Science, 44, 4, S129–38.Google Scholar
Hume, D. 1741. Of Interest. Available online at http://socserv2.mcmaster.ca/~econ/ugcm/3ll3/hume/index.html.Google Scholar
Hunter, K. I. and Linn, M. W. 1980–81. Psychosocial differences between elderly volunteers and non-volunteers. International Journal of Ageing and Human Development, 12, 3, 205–13.Google Scholar
Hurd, M. D. 1990. Research on the elderly: economic status, retirement, and consumption and saving. Journal of Economic Literature, 28, 2, 565–637.Google Scholar
Jahoda, M. 1981. Work, employment and unemployment: values, theories and approaches in social research. American Psychologist, 36, 2, 184–91.Google Scholar
Katz, E. and Rosenberg, J. 2005. An economic interpretation of institutional volunteering. European Journal of Political Economy, 21, 2, 429–43.Google Scholar
Klumb, P. L. and Baltes, M. M. 1999. Time use of old and very old Berliners: productive and consumptive activities as functions of resources. Journals of Gerontology: Social Sciences, 54B, 5, S271–8.CrossRefGoogle Scholar
Lanfranch, J., Narcy, M. and Larguem, M. 2010. Shedding new light on intrinsic motivation to work: evidence from a discrete choice experiment. Kyklos, 63, 1, 75–93.Google Scholar
Layard, R. 2006. Happiness – Lessons from a New Science. Penguin Books, New York.Google Scholar
Layard, R., Nickell, S. and Jackman, R. 2005. Unemployment: Macroeconomic Performance and the Labour Market. Oxford University Press, Oxford.Google Scholar
Levitan, S. A. and Johnson, C. M. 1982. Second Thoughts on Work. W. E. Upjohn Institute for Employment Research, Kalamazoo, Michigan.CrossRefGoogle Scholar
Mankiw, N. G. 2001. Macroeconomics. Fifth edition, Worth Publishers, New York.Google Scholar
Maslow, A. H. 1943. A theory of human motivation. Psychological Review, 50, 4, 370–96.Google Scholar
Meier, S. and Stutzer, A. 2008. Is volunteering rewarding in itself? Economica, 75, 297, 39–59.Google Scholar
Menchik, P. L. and Weisbrod, B. A. 1987. Volunteering labour supply. Journal of Public Economics, 32, 2, 159–83.Google Scholar
Modigliani, F. 1986. Life cycle, individual thrift, and the wealth of nations. American Economic Review, 76, 3, 297–313.Google Scholar
Moen, P., Dempster-McClain, D. and Williams, R. M. 1992. Successful ageing: a life-course perspective on women's multiple roles and health. American Journal of Sociology, 97, 6, 1612–38.Google Scholar
Moen, P. and Fields, V. 2002. Midcourse in the United States: does unpaid community participation replace paid work? Ageing International, 273, 3, 21–48.Google Scholar
Moen, P., Robison, J. and Fields, V. 1994. Women's work and caregiving roles: a life course approach. Journals of Gerontology: Social Sciences, 49, 4, S176–86.Google Scholar
Morrow-Howell, N. 2010. Volunteering in later life: research frontiers. Journals of Gerontology: Social Sciences, 65B, 4, 461–9.CrossRefGoogle Scholar
Morrow-Howell, N., Hinterlong, J., Razario, P. A. and Tang, F. 2003. Effects of volunteering on the well-being of older adults. Journals of Gerontology: Social Sciences, 58, 3, S137–45.Google Scholar
Morrow-Howell, N., Hinterlong, J. and Sherraden, M. (eds) 2001. Productive Ageing: A Conceptual Framework. Johns Hopkins University Press, Baltimore, Maryland.Google Scholar
Musick, M. A. and Wilson, J. 2008. Volunteers: A Social Profile. Indiana University Press, Bloomington, Indiana.Google Scholar
Mutchler, J. E., Burr, J. A. and Caro, F. G. 2003. From paid worker to volunteer: leaving the paid workforce and volunteering in later life. Social Forces, 81, 4, 1267–93.Google Scholar
O'Reilly, P. and Caro, F. G. 1994. Productive aging: an overview of the literature. Journal of Aging and Social Policy, 6, 3, 39–71.Google Scholar
Oswald, A. J. 1997. Happiness and economic performance. Economic Journal, 107, 445, 1815–31.CrossRefGoogle Scholar
Prouteau, L. and Wolff, F. C. 2008. On the relational motive for volunteer work. Journal of Economic Psychology, 29, 3, 314–35.Google Scholar
Schumacher, E. F. 1973. Small is Beautiful: Economics as if People Mattered. Harper & Row, New York.Google Scholar
Scitovsky, T. 1976. The Joyless Economy – An Inquiry into Human Satisfaction and Consumer Dissatisfaction. Oxford University Press, Oxford.Google Scholar
Sherman, A. and Shavit, T. 2010. Gaining leisure, losing work – the effect of loss aversion on work–welfare choice. Working Paper.Google Scholar
Spencer, D. A. 2009 a. The Political Economy of Work. Routledge, London.Google Scholar
Spencer, D. A. 2009 b. The ‘work as bad’ thesis in economics: origins, evolution, and challenges. Labor History, 50, 1, 39–57.Google Scholar
Statistics Canada 2006. A portrait of seniors in Canada. Available online at http://www.statcan.gc.ca/pub/89-519-x/89-519-x2006001-eng.htm.Google Scholar
Tang, F. 2006. What resources are needed for volunteerism? A life course perspective. Journal of Applied Gerontology, 25, 375–90.Google Scholar
Thoits, P. A. and Hewitt, L. N. 2001. Volunteer work and well-being. Journal of Health and Social Behaviour, 42, 2, 115–31.Google Scholar
Thomas, K. 1999. The Oxford Book of Work. Oxford University Press, Oxford.Google Scholar
Van Praag, B. M. S. and Carbonell, A. F. 2002. Life satisfaction differences between workers and non-workers – the value of participation per se. Discussion Paper 018/3, Tinbergen Institute, Amsterdam.Google Scholar
Van Willigen, M. 2000. Differential benefits of volunteering across the life course. Journals of Gerontology: Social Sciences, 55B, 5, S308–18.Google Scholar
Warburton, J., Le Brocque, R. and Rosenman, L. S. 1998. Older people, a reserve army of volunteers? A study of volunteerism among older Australians. International Journal of Ageing and Human Development, 46, 3, 229–45.CrossRefGoogle ScholarPubMed
Warburton, J. and Terry, D. J. 2000. Volunteer decision-making by older people: a test of a revised theory of planned behavior. Basic and Applied Social Psychology, 22, 3, 243–55.Google Scholar
Warburton, J., Terry, D. J., Rosenman, L. S. and Shapiro, M. 2001. Differences between older volunteers and non-volunteers. Research on Ageing, 23, 5, 586–605.CrossRefGoogle Scholar
Wilson, J. 2000. Volunteering. Annual Review of Sociology, 26, 215–40.CrossRefGoogle Scholar
Wilson, J. and Musick, M. 1997. Who cares? Toward an integrated theory of volunteer work. American Sociological Review, 62, 5, 694–713.Google Scholar
Winkelmann, L. and Winkelmann, R. 1998. Why are the unemployed so unhappy? Evidence from panel data. Economica, 65, 257, 1–15.Google Scholar
United Nations, Department of Economic and Social Affairs, Population Division (2009). World Population Prospects: The 2008 Revision. Available online at http://www.un.org/esa/population/publications/wpp2008/wpp2008_highlights.pdf.Google Scholar
Young, H. M., Lierman, L., Powell-Cope, G., Kasprzyk, D. and Benoliel, J. Q. 1991. Operationalizing the theory of planned behavior. Research in Nursing and Health, 14, 2, 137–44.Google Scholar
Zedlewski, S. R. and Schaner, S. G. 2006. Older Adults Engaged as Volunteers. The Retirement Project, Perspectives on Productive Ageing. Volume 5, The Urban Institute, Washington DC.Google Scholar