No mental retirement: estimating voluntary adult education activities of older workers

Adult education may keep older workers productive if they voluntarily engage in learning. Examining a generous partial retirement reform in Germany that encouraged early retirement among male workers, we estimate voluntary adult education activities for early retirees. Using county-level administrative data on all public adult education centers (Volkshochschulen; VHS), we employ a difference-in-differences approach exploiting the predetermined county-specific age structure of men for identification. The results show a strong increase in participation in adult education, specifically in cognitively demanding courses. This supports an intrinsic willingness of older workers to acquire skills and abilities independent of financial incentives.