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Do they care too much to work? The influence of caregiving intensity on the labour force participation of unpaid caregivers in Canada

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  • Lilly, Meredith B.
  • Laporte, Audrey
  • Coyte, Peter C.
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    Abstract

    The recent growth of the home care sector combined with societal and demographic changes have given rise to concerns about the adequacy of the supply of family and friend caregivers. Potential caregivers face competing time pressures that pull them in the direction of the labour market on one hand, and towards unpaid caregiving duties on the other. This paper examines the influence of unpaid caregiving on the labour supply of a cohort of working-aged caregivers in Canada, with particular emphasis on caregiving intensity. Results suggest that caregivers are heterogeneous in both their caregiving inputs and associated labour market responses, thereby underscoring the importance of controlling for caregiving intensity when measuring labour supply. The negative influence of primary caregiving on labour supply appears to be at the level of labour force participation, rather than on hours of work or wages.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of Health Economics.

    Volume (Year): 29 (2010)
    Issue (Month): 6 (December)
    Pages: 895-903

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    Handle: RePEc:eee:jhecon:v:29:y:2010:i:6:p:895-903

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    Web page: http://www.elsevier.com/locate/inca/505560

    Related research

    Keywords: Unpaid caregiving Informal caregivers Labour force participation Home care;

    References

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    1. Peter C. Coyte & Mark Stabile, 2001. "Household Responses to Public Home Care Programs," NBER Working Papers 8523, National Bureau of Economic Research, Inc.
    2. Morley Gunderson, 1977. "Logit Estimates of Labour Force Participation Based on Census Cross-Tabulations," Canadian Journal of Economics, Canadian Economics Association, vol. 10(3), pages 453-62, August.
    3. Carmichael, Fiona & Charles, Susan, 2003. "The opportunity costs of informal care: does gender matter?," Journal of Health Economics, Elsevier, vol. 22(5), pages 781-803, September.
    4. Barer, Morris L. & Evans, Robert G. & Hertzman, Clyde & Lomas, Jonathan, 1987. "Aging and health care utilization: New evidence on old fallacies," Social Science & Medicine, Elsevier, vol. 24(10), pages 851-862, January.
    5. Payne, Greg & Laporte, Audrey & Foot, David K. & Coyte, Peter C., 2009. "Temporal trends in the relative cost of dying: Evidence from Canada," Health Policy, Elsevier, vol. 90(2-3), pages 270-276, May.
    6. Spieß, Christa Katharina & Schneider, A. Ulrike, 2003. "Interactions between care-giving and paid work hours among European midlife women, 1994 to 1996," EconStor Open Access Articles, ZBW - German National Library of Economics, pages 41-68.
    7. Van Houtven, Courtney Harold & Norton, Edward C., 2004. "Informal care and health care use of older adults," Journal of Health Economics, Elsevier, vol. 23(6), pages 1159-1180, November.
    8. Heitmueller, Axel, 2007. "The chicken or the egg?: Endogeneity in labour market participation of informal carers in England," Journal of Health Economics, Elsevier, vol. 26(3), pages 536-559, May.
    9. Heitmueller, Axel & Inglis, Kirsty, 2007. "The earnings of informal carers: Wage differentials and opportunity costs," Journal of Health Economics, Elsevier, vol. 26(4), pages 821-841, July.
    10. Jennifer E. Tranmer & Denise N. Guerriere & Wendy J. Ungar & Peter C. Coyte, 2005. "Valuing Patient and Caregiver Time: A Review of the Literature," PharmacoEconomics, Springer Healthcare | Adis, vol. 23(5), pages 449-459.
    11. K. Bolin & B. Lindgren & P. Lundborg, 2007. "Your Next of Kin or your Own Career? Caring and Working among the 50+ of Europe," Tinbergen Institute Discussion Papers 07-032/3, Tinbergen Institute.
    12. J. Emery & Ana Ferrer, 2009. "Marriage market imbalances and labor force participation of Canadian women," Review of Economics of the Household, Springer, vol. 7(1), pages 43-57, March.
    13. Jens Lundsgaard, 2005. "Consumer Direction and Choice in Long-Term Care for Older Persons, Including Payments for Informal Care: How Can it Help Improve Care Outcomes, Employment and Fiscal Sustainability?," OECD Health Working Papers 20, OECD Publishing.
    14. Carmichael, Fiona & Charles, Sue, 1998. "The labour market costs of community care1," Journal of Health Economics, Elsevier, vol. 17(6), pages 747-765, December.
    15. Susan L. Ettner, 1996. "The Opportunity Costs of Elder Care," Journal of Human Resources, University of Wisconsin Press, vol. 31(1), pages 189-205.
    16. Fiona Carmichael & Susan Charles, 2003. "Benefit payments, informal care and female labour supply," Applied Economics Letters, Taylor & Francis Journals, vol. 10(7), pages 411-415.
    17. Heckman, James J, 1974. "Shadow Prices, Market Wages, and Labor Supply," Econometrica, Econometric Society, vol. 42(4), pages 679-94, July.
    18. David Casado-Marín & Pilar García-Gómez & Ángel López-Nicolás, 2008. "Labour and income effects of caregiving across Europe: an evaluation using matching techniques," Health, Econometrics and Data Group (HEDG) Working Papers 08/23, HEDG, c/o Department of Economics, University of York.
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    Cited by:
    1. Jacobs, Josephine C. & Lilly, Meredith B. & Ng, Carita & Coyte, Peter C., 2013. "The fiscal impact of informal caregiving to home care recipients in Canada: How the intensity of care influences costs and benefits to government," Social Science & Medicine, Elsevier, vol. 81(C), pages 102-109.
    2. Josephine Jacobs & Courtney Van Houtven & Audrey Laporte & Peter Coyte, 2014. "The Impact of Informal Caregiving Intensity on Women's Retirement in the United States," Working Papers 140008, Canadian Centre for Health Economics.
    3. Josephine Jacobs & Courtney Van Houtven & Audrey Laporte & Peter Coyte, 2014. "Baby Boomer caregivers in the workforce: Do they fare better or worse than their predecessors?," Working Papers 140001, Canadian Centre for Health Economics.
    4. Nguyen, Ha Trong & Connelly, Luke Brian, 2014. "The effect of unpaid caregiving intensity on labour force participation: Results from a multinomial endogenous treatment model," Social Science & Medicine, Elsevier, vol. 100(C), pages 115-122.
    5. Jacobs, Josephine C. & Laporte, Audrey & Van Houtven, Courtney H. & Coyte, Peter C., 2014. "Caregiving intensity and retirement status in Canada," Social Science & Medicine, Elsevier, vol. 102(C), pages 74-82.

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