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Grandfathers and Grandsons: Social Security Expansion and Child Health in China

Author

Listed:
  • Yang, Jinyang

    (Virginia Tech)

  • Chen, Xi

    (Yale University)

Abstract

We examine the multigenerational impacts of a nationwide social pension program in China, the New Rural Pension Scheme (NRPS). NRPS was rolled out in full scale since 2012, and rural enrollees over age 60 are eligible to receive a minimum of 70 CNY non-contributory monthly pension. We leverage age eligibility and variations in pension receipt to identify the inter-generational effect of NRPS on health among grandchildren. We find NRPS substantially increases child weight without impacting height. Overall, child BMI z score increases by 1.09, which is largely driven by grandfathers' pension receipt raising rates of overweight and obesity among grandsons. Among the potential mechanisms, our findings are more plausibly explained by a mixture of income effect, son preference, and rising inter-generational co-residence and childcare.

Suggested Citation

  • Yang, Jinyang & Chen, Xi, 2022. "Grandfathers and Grandsons: Social Security Expansion and Child Health in China," IZA Discussion Papers 15239, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp15239
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    References listed on IDEAS

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    More about this item

    Keywords

    social pension; child health; inter-generational relationship; intra-household allocation; migration; living arrangement; China;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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