Labour Supply and Informal Care Supply: The Impacts of Financial Support for Long-Term Elderly Care
Bruce Hollingsworth (),
Asako Ohinata (),
Matteo Picchio () and
Ian Walker ()
No 424, Working Papers from Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali
We investigate the impact of a policy reform, which introduced free formal personal care for all those aged 65 and above, on caregiving behaviour. Using a difference-indifferences estimator, we estimate that the free formal care reduced the probability of co-residential informal caregiving by 12.9%. Conditional on giving co-residential care, the mean reduction in the number of informal care hours is estimated to be 1:2 hours per week. The effect is particularly strong among older and less educated caregivers. In contrast to co-residential informal care, we find no change in extra-residential caregiving behaviour. We also observe that the average labour market participation and the number of hours worked increased in response to the policy introduction.
Keywords: Long-term elderly care; ageing; financial support; informal caregiving; difference-in-differences (search for similar items in EconPapers)
JEL-codes: C21 D14 I18 J14 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-age, nep-eur, nep-hea, nep-lab and nep-ltv
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Working Paper: Labour Supply and Informal Care Supply: The Impacts of Financial Support for Long-Term Elderly Care (2017)
Working Paper: Labour supply and informal care supply: The impacts of financial support for long-term elderly care (2017)
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Persistent link: https://EconPapers.repec.org/RePEc:anc:wpaper:424
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