This paper investigates the optimal retirement of an individual in the presence of involuntary unemployment risks and … emphasized in recent studies. We also find that an individual with high leisure demand after retirement reduces consumption … during retirement and increases stockholdings as retirement time approaches …

We develop a new approach for solving the optimal retirement problem for an individual with an unhedgeable income risk … optimal retirement problem is to determine the individual's optimal consumption and investment behaviors and optimal … retirement time simultaneously. We introduce a new convex-duality approach for reformulating the original retirement problem and …

We develop a retirement model with long-run income risk in which the wealth threshold for retirement is shown to be a …-dimensional retirement problem. The two-dimensional retirement framework has changed quantitative and qualitative features of retirement … strategies as suggested by the literature. Having derived the optimal life-cycle consumption/savings, investment, and retirement …