%0 Report
        %A Holden, Steinar
%A Markussen, Simen
%A Røed, Knut
        %T Are Senior Workers Overpriced? Evidence from an Age-Differentiated Payroll Tax in Norway
        %D 2026
        %8 2026 Jun
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 18727
        %U https://www.iza.org/publications/dp18727
        %X Differentiation of the employer-born payroll tax may be a tool to raise employment for groups whose wage entitlements are set above market clearing levels – e.g., through collective bargaining, minimum wage legislation or implicit contracts. We provide an empirical evaluation of a reform in Norway in 2002 whereby the payroll tax for mature (62+) workers was reduced by 4 percentage points. Our findings indicate that the reform led to a 2-3% increase in total hours worked by persons aged 62-64. Approximately 25% of  the tax cut was passed on to the workers in the form of higher hourly wages.
        %K payroll tax
%K tax incidence
%K labor demand
%K labor supply
%K difference in differences