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How Do Social Security and Income Affect the Living Arrangements of the Elderly? Evidence from Reforms in Mexico and Uruguay

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  • Naoko Shinkai
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    Abstract

    It has been shown that the social security system and other sorts of government transfers have helped poor elderly people, such as widows, to live alone in the U. S. This paper investigates whether government financial support contributed to the increase in the probability of the vulnerable elderly living alone in Latin American countries as well. Specifically, the countries that in the 1980s experienced government reforms favorable to the vulnerable elderly, Mexico and Uruguay, are examined. It is concluded that the improvement of educational attainment was mainly responsible for helping the elderly poor to live alone in rural areas in Mexico, and not the government system. On the other hand, in Uruguay, for unmarried elderly females, the increase in social security income explains most of the increase in the probability of living alone.

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    Paper provided by Inter-American Development Bank, Research Department in its series Research Department Publications with number 4231.

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    Date of creation: Oct 2000
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    Handle: RePEc:idb:wpaper:4231

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    1. Eduardo Lora & Gustavo Márquez, 1998. "The Employment Problem in Latin America: Perceptions and Stylized Facts," IDB Publications 6437, Inter-American Development Bank.
    2. Kathleen McGarry & Robert F. Schoeni, 1998. "Social Security, Economic Growth, and the Rise in Independence of Elderly Widows in the 20th Century," NBER Working Papers 6511, National Bureau of Economic Research, Inc.
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    17. repec:fth:inadeb:371 is not listed on IDEAS
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