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supply of labour and increasing retirement age

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The age at which women could obtain the age pension will gradually raise from 60 - 65. Over the last 5 years the participation rate of women between 60-64 increased and at the same time the age at which women could get the age pension was also raised from 61 to 62. By describing (in words and a diagram) and then adopting the main features of the neoclassical supply of labor, explain how these two factors may be related.

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Effects on the supply of labor and increasing retirement age are typified.

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Neo-classical economists view the labour market as similar to other markets in that the forces of supply and demand jointly determine price (the wage rate) and quantity (the number of people employed or the hours worked).
Therefore, a person's decision function is to maximize its utility subject to his time constraint:
Max U (wH+I, L) (1)
s.t. H + L = T (2)
where U(*) is the utility function; Y = total income; w = hourly wage rate; H = hours ...

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