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Research on Aging
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The Economic Impact of Retirees on Smaller Communities

Concepts and Findings from Three Canadian Studies

Gerald Hodge

Simon Fraser University

Little is known about the economic impact of retirees despite the efforts being made to attract retirees in the hope of stimulating sluggish small town economies. A paradigm is required that grasps the various economic inputs and outputs in a community from a retirement population. The conventions of regional economics, especially those from community economic base and social accounts, provide the basis for such a paradigm. Retiree impacts can then be disaggregated into direct expenditures from personal incomes of retirees as well as from income contributed to the community to provide health care and other support services. This direct spending results in indirect impacts through a multiplier effect. The model is demonstrated with data obtained from retirees in three smaller communities. in British Columbia. Results indicate that retirees are an economic blessing for a smaller community.

Research on Aging, Vol. 13, No. 1, 39-54 (1991)
DOI: 10.1177/0164027591131002
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